Parrot boosts U.S. presence with Waveblue acquisition

Parrot, the market leader for wireless and hands-free mobile phone devices, has acquired a 100% stake in the capital of Waveblue, its exclusive distributor in California.

Over the first nine months of 2007, Waveblue generated 40% of Parrot’s retail sales in the US. It employs four people, who are already integrated into Parrot Inc., the Group’s American subsidiary.

Waveblue’s takeover, representing a total of $2.125 mln and a three-year profit-sharing clause, is based on 40% in cash and 60% in shares. This operation is in line with the strategy rolled out by Parrot in June 2006 with the acquisition of Inpro Tecnologia and the duplication of a validated marketing model.

California offers significant development potential for Parrot: it is the fourth American state to adopt legislation forbidding in-car telephone use and encouraging the use of hands-free kits, with the measures voted on in September 2006 to be applied as of July 1, 2008. While Parrot is ramping up its distribution in the US, another 35 states have already announced their intention to pass similar laws.

Since 1994 Parrot has established itself as a global player for wireless mobile telephone accessories. Drawing on its expertise in voice recognition and signal processing technologies, Parrot was one of the first companies to produce Bluetooth-based wireless hands-free car kits in 1999.

In 2006, Parrot sold 3 mln units. Today, 90,5% of its sales are generated outside of France, and a large percentage of its production is outsourced to partners.

Parrot has achieved strong growth in its consolidated revenues, up from 80.9 mln euros pro forma in 2005 to 166.9 mln euros in 2006.