Nuance Closes Acquisition of BeVocal

The acquisition of BeVocal expands Nuance's existing product portfolio with a unique solution set for mobile customer lifecycle management, the Beyondâ„¢ Suite, and a range of premium services, the VoCommâ„¢ Suite, for the mobile consumer.

As the number of mobile subscribers expands, BeVocal's solutions address the significant domestic and global requirements for mobile service providers and others serving the mobile industry to reduce costs, increase revenue and improve mobile customer satisfaction. The Beyond Suite makes the most of every customer contact - including handset activation, customer care, intelligent promotional offers, and sales and fulfillment of add-on features. BeVocal's solutions also address additional channels such as Web and SMS, enabling unique, cross-channel experiences.

The BeVocal acquisition brings to Nuance a portfolio of highly repeatable applications, proven success within major reference accounts and a predictable, recurring revenue stream derived from a software-as-a-service (SaaS) business model. For BeVocal, the acquisition enables broader sales and marketing resources, direct access to core technologies, which will strengthen its solutions, and the momentum of being an integral part of a leading provider of care solutions.

In connection with the acquisition of BeVocal and in accordance with NASDAQ Marketplace Rule 4350, Nuance will grant 501,530 shares of its common stock, in the form of stand-alone restricted stock units, and options to purchase 750,000 shares of its common stock as an inducement that is material to 145 individuals entering into employment arrangements with Nuance. The restricted stock units and stock options are being granted upon the approval of the Compensation Committee of Nuance's Board of Directors. The restricted stock units vest over a three year period, subject to acceleration upon the achievement of certain performance targets and the stock options vest over a four year period - Nuance.