Sunnyvale, California-based Telebit Corp is going to have to take a $5m charge against its third quarter figures, implying a substantial loss for the quarter – but the charge results from the buyout of the 49% stake held by Morgan Stanley Research Ventures in Telebit Ventures, a technology development partnership in which Telebit owned 51%, and from the write-off of software and data communications technology bought from other parties; Telebit Ventures was formed in October 1988 to design, develop and market high-speed data modems and started selling its first product, the T1600 modem incorporating the CCITT V.32 standard at the start of the year; it now has a V.32bis T3000 as well; the buyout has come earlier than envisaged and at a price lower than that in the original agreement – $1m cash plus 300,000 shares of Telebit common; as a result of the early buyout, the combined value of about $2.4m will be accounted for as purchased research and development and will be charged to Telebit’s operations; for the six months to June, Telebit did $1.2m net on $21.8m turnover.
