Emulex Corp., a Costa Mesa storage networking company, said Thursday it has completed its acquisition of Giganet Inc. for stock worth about $247.6 million, based on Thursday's closing price.
Emulex said in a news release that 800,000 shares of the total amount issued or reserved for issuance will be held in escrow under terms of the agreement with the San Jose developer of Internet-based storage networking equipment.
Emulex stock gained 14 cents Thursday to close at $30.95 a share on Nasdaq.
The company said it plans to record a charge in its fiscal third quarter for expenses in research and development.
Emulex, which sells fiber-channel host adapters, also rearranged some of its executive management posts as part of the transaction. It named Kirk Roller, formerly senior vice president of Emulex's worldwide sales and marketing, to the new position of chief operating officer.
Giganet will become the Emulex Internet protocol network group. Emulex's chief technology officer, Ron Quagliara, will head the unit as president.