/ Source: The Associated Press
Communications and storage chip maker PMC-Sierra Inc. said Monday that it purchased Adaptec Inc.'s channel storage division for about $34 million in cash.
PMC-Sierra said the deal will strengthen its existing enterprise storage business by allowing faster access to channel customers.
PMC-Sierra expects to hire about 90 Adaptec workers.
The acquisition is expected to close in about 30 days.
Last month PMC-Sierra reported that it moved to a first-quarter profit as revenue rose sharply amid improving demand.
Shares of PMC-Sierra added 18 cents, or 2.2 percent, to $8.19 in afternoon trading, while Adaptec's stock gained 12 cents, or 4.1 percent, to $3.06.
