nStor Technologies said on Thursday it is selling its telecommunications management unit to outsourcing company Symphony Services for $6.7 million. NStor, which makes networked storage systems, said the payment for its Stonehouse Technologies unit will be $5.6 million in cash and $1.1 million in promissory notes. Stonehouse's software and services are designed to help companies manage their telecommunications expenses, assets and processes.
NStor said the deal will provide it with sufficient working capital to meet key milestones and "fuel its strategy to deliver cost-effective, straightforward storage solutions to small-to-mid-sized organizations." For the second quarter, nStor reported a net loss of $1.8 million on revenue of $3.9 million. Symphony Services, which is based in Palo Alto, Calif. and has operations in India, provides a variety of outsourcing services. One of its units focuses on cost management.