Elron Electronic Industries Ltd, Israeli multinational technology holding company, announced that its wholly-owned subsidiary, Elron Software Inc, is acquiring network management software and systems integration firm Network, Communications and Computer Systems Ltd for $40m in cash. The deal also calls for an additional $4m to be paid after 3 years, subject to certain conditions. NCC will operate through a new subsidiary of Elron Software after the deal closes, which is expected to happen in December. As a result of the deal, Elron expects to take a one- time charge to earnings in the fourth quarter of between $10m and $20m. Privately-held NCC, which has operations in both Israel and the US, was founded in 1983 and has roughly 250 employees. Elron Software specializes in network management software, software metering and security products.
