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Los Angeles-based Maguire Properties Inc. is paying $2.9 billion to buy Equity Office Properties Trust’s former Orange County and Los Angeles buildings from Blackstone Group LP. The company said it plans to take on an investor partner in the deal but initially could buy the buildings with its own financing. The acquisition is set to close in the second quarter (see story page 3).
Cisco Systems Inc.’s Linksys and Apple Inc. will share custody of the iPhone name as part of a settlement. Under the pact, both companies plan to use iPhone in branding and marketing wireless phones. Linksys’ product, which uses the Skype Internet telephone service for online calls as well as traditional phone lines, has been on the market since 2005 and sells for up to $370. Apple’s iPhone, launched in a flashy January presentation, will be available in June. The phone with built-in Web browser and iPod, will cost about $500. Cisco and Apple agreed to dismiss any remaining legal issues related to the trademark and “will explore opportunities for interoperability in the areas of security and consumer and enterprise communications.”
Chipmakers Broadcom Corp. and Qualcomm Inc. have put to rest one of their many legal battles. San Diego-based Qualcomm last week said it settled with Irvine’s Broadcom on two pairs of patents relating to Bluetooth technology in cellular telephones. Terms weren’t disclosed. Remaining patent infringement claims were unaffected by the agreement. Four separate claims are set for trial, starting next month.
Santa Ana-based Powerwave Technologies Inc., a maker of wireless network gear beset by slowing sales and shareholder lawsuits, said it lost $115 million in the fourth quarter. A year earlier, Powerwave earned $19 million. The loss includes nearly $85 million in acquisition, restructuring and other charges. Last year, Powerwave bought Britain’s Filtronic PLC for about $185 million. Sales fell 32% to $169.7 million.
Heart valve maker Edwards Lifesciences Corp. received a warning letter from the Food and Drug Administration over conditions at its Irvine plant. The FDA said Irvine-based Edwards wouldn’t receive regulatory approval for devices “reasonably related” to the issues raised in the letter until they are resolved. The letter comes from an inspection that ended in August and deals with the company’s quality systems, training, documentation and complaint handling in Irvine. Edwards said it’s involved in a broad review of its quality systems.
SenoRx Inc., a medical device maker in Aliso Viejo, outlined terms of its pending initial public offering. The maker of devices for detecting breast cancer said it plans to offer 5.5 million shares at $11 to $13. At the high end, SenoRx would raise nearly $72 million, down from an earlier estimate of $86 million. No date has been set for the offering yet.
IDM Pharma Inc., an Irvine cancer-drug developer, raised $12.8 million in a private placement led by Palo Alto Investors. Existing investor Alta Partners in San Francisco also took part. The money will be used to support development of Junovan, the company’s bone cancer drug, which has completed its phase three clinical trial. The Food and Drug Administration is reviewing Junovan.
The Tustin City Council voted to raze a historic wooden hangar that housed military blimps during World War II to make way for homes, businesses, parks and schools. The City Council voted unanimously to reject proposals for a motocross facility, a culinary complex, shops catering to the elderly and a futuristic airship building center. Each would have preserved the hangar, which is one of two at the site. The second hangar is being turned into a sports and entertainment complex. The land is set be leased and eventually sold to the Tustin Legacy Community Partners, which is building 2,105 homes, businesses, schools and parks on 822 acres at the former military base.
Costa Mesa clothing maker Volcom Inc. saw fourth-quarter sales rise 37% from a year earlier to $56.6 million. Analysts had expected about $55 million. Net income came in at $7.6 million. Analysts on average expected $7.3 million. For the current quarter, Volcom lowered its forecast and said it sees sales of $48 million to $49 million, up as much as 18% from a year earlier. Analysts had been expecting $51.5 million. Net income could come in around $3.9 million, versus the $4.6 million Wall Street expected. Costs related to the company’s expansion in Europe are set to weigh on first-quarter profits, Volcom said. Wall Street took heart in the company’s outlook for the rest of 2007.
Brea-based Jade Products Co., a maker of luxury kitchen appliances, is being bought by Elgin, Ill.-based Middleby Corp., a maker of commercial cooking gear. Terms of the deal, expected to close April 2, weren’t disclosed. Newton, Iowa-based Maytag Corp. paid $20 million for Jade in 1999. Maytag was bought by Whirlpool Corp. in March. Analysts had speculated that Maytag could sell Jade for $50 million or more. Jade counts about $20 million in annual sales.
