said Thursday it has shelled out some $500 million of its highflying stock to acquire two privately held high-tech companies.
San Jose, Calif.-based Cisco will acquire
of Redwood City, Calif., for $301 million in stock. InfoGear provides software used to manage information appliances. Cisco already owns 8% of InfoGear.
Cisco is also buying Menlo Park, Calif.-based
, which develops wireless telephony solutions for corporate networks. That deal is meant to broaden Cisco's "New World" strategy by offering wireless voice services over a Web-based network. Cisco is paying $200 million in stock for JetCell, of which it already owns 10%. The company said it expects a one-time charge against after-tax earnings of 3 cents per share for in-process research and development.
Both deals are expected to close in the fourth quarter.
Cisco shares rose 7/16 to 129 1/16 in early trading.