Updated on Thursday, July 02, 2009, 18:52 IST

Bangalore, July 02: Antennas and radio frequency products manufacturer Kavveri Telecom on Thursday announced the acquisition of Canadian firm Trackcom Systems International, which is expected to boost the domestic company's position in defence and telecom sectors.

Announcing the acquisition Kavveri's Managing Director Shivakumar Reddy said, "This acquisition brings additional high technology products into our portfolio which will strengthen Kavveri's position in defence, space and telecom products."

Kavveri picked up 67 per cent stake in the design and development company, while the remaining 33 per cent equity would be bought out in the next four to five years. He declined to talk about the cost of the acquisition citing non-disclosure agreement, Reddy told reporters here.

The buyout gives Kavveri access to a vast portfolio of radio frequency products and antennas up to 40 Ghz useful for space, defence and telecom applications.

Last year, defence and space sectors contributed three per cent of Kavveri's total revenues, Reddy said this figure is expected to jump to 15 per cent in 2011-12.

To a question, Reddy said the advent of 3G in India would result in the company getting 20-30 per cent more business, and that of WiMAX, would give "huge additions".

TSI's customers include North Atlantic Treaty Organisation (NATO), he said.

Bureau Report