Digg icon reddit icon Stumbleupon icon
Print Email     Print Edition Stories

Thursday, June 18, 2009

Once called Avici, Soapstone looks to liquidate

By Jackie Noblett

Soapstone Networks Inc. is seeking stockholder approval to liquidate the company.

The Billerica-based company disclosed in a regulatory filing Monday its board of directors approved a plan to wind down operations and stop making its provider network controller software as of Monday. Soapstone (Nasdaq: SOAP) terminated 50 employees Wednesday, bringing its work force to 14 people.

Formerly known as Avici Systems Inc., the company thrived in the 1990s selling network routers during the telecommunications boom. But after the tech crash of the early 2000s and increased competition from industry giants Cisco Systems and Juniper Networks, the company began dropping production of the routers in 2007 and refocused its strategy on networking software. It renamed itself Soapstone last year.

Soapstone generated no revenue for the first three months of the year and booked an $8.1 million loss in that time period.

In a statement, the company said it made the decision to liquidate after searching for a buyer of all or part of the company’s assets or another transaction that would increase shareholder value.

The board also approved a dividend of $3.75 per share, although the actual payout could be less depending on Soapstone’s liabilities to creditors.
 

Digg icon reddit icon Stumbleupon icon
Contact Editor Latest News

Comments

Please Login/Register to post comments.

No comments have been added or approved.

On the MHT blog now

Despite World Series, local algorithm helps jobless New Yorkers

NPR's Morning Edition reports on job counseling efforts at the state of New York's Department of Labor, and finds it's using an algorithm developed by Burning Glass Technologies, which is based in Quincy Market. Burning Glass develops algorithms that parse resume information and try to match job seekers with companies that will actually hire them. The job seeker in the story, a publishing i...

Read More

Most Popular Stories
EmailedViewed
Stay Informed
Check which newsletter you'd like to receive.
TechFlash (Daily)
FinanceFlash (Daily)
BioFlash (Daily)
GreenFlash (Weekly)
Startup Report (Weekly)
Breaking news, MHT events, local announcements
RSS feeds
Your email:

Affiliate publications: ACBJ.com, Boston Business Journal, Bizjournals.com, Portfolio.com, Wired.com

Web Site Developed by Neptune Web, Inc.

Use of, registration on, this site constitutes acceptance of our User Agreement. Please read our Privacy Policy (updated) A publishing partner with Portfolio