6 , 2000
PC graphics card maker Nvidia today announced that it has signed a definitive agreement to acquire certain graphics related assets of 3dfx Interactive, the maker of Voodoo graphics cards. 3dfx had just this year released its first Macintosh graphics cards, the Voodoo4 4400 and Voodoo5 5500 PCI cards. The company recently called off plans to write Macintosh drivers for the AGP version of the Voodoo5.
These graphics related assets to be acquired by Nvidia include patents, pending patent applications, trademarks, brand names and chip inventory related to the graphics business of 3dfx. In addition, 3dfx and Nvidia have agreed to stay the patent infringement litigation between them through the closing of the transaction, at which time it will be jointly dismissed with prejudice, according to Nvidia.
Under the terms of the agreement, Nvidia will pay to 3dfx a total consideration of $70 million in cash and 1 million shares of common stock. The asset acquisition has been approved by the board of directors of each company and is subject to 3dfx shareholder approval and other closing conditions. This acquisition will be accounted for as a purchase and is expected to be complete in the first quarter of Nvidia's fiscal year 2002.
Nvidia executives will conduct a conference call Monday, Dec. 18. We'll bring you more information then.
Post a comment or question on the Creative Mac World Wide User Forum!