Set-top maker keeps up the pace

The Saltaire-based group recently completed the $475m (301m

acquisition of US broadband firm 2Wire.

The group said its immediate focus is on integrating the US company.

The firm overtook Motorola as the world's biggest set-top box maker earlier this year, and the 2Wire deal takes it beyond its satellite and cable roots into the fast-growing telecoms business.

Pace said it hopes to make $30m "synergies" from the deal, and will report associated exceptional costs this year

It added sales and volumes of deliveries of set-top boxes are going to plan as its customers, which include Comcast and DirecTV, continue to grow their high-definition services as well as introduce new ones such as 3D, 'over-the-top' internet content and multi-room TV.

The group added that it continues to successfully manage component supply issues, which are being seen across the industry.

Pace chief executive Neil Gaydon said: "Our consistent delivery against a clear strategy has enabled Pace to deliver excellent operational performance, building further on our market leadership position.

"Pace remains on track to deliver a second half performance as strong as the first half.

"With the acquisition of 2Wire we have not only extended our customer base beyond cable and satellite to the telco market, but further widened our technology capability.

"The global market continues to evolve: we have now built a unique vantage point from which to partner with operators as they develop the next generation of interconnected home entertainment and broadband services.

"Our immediate focus is on the integration of 2Wire into the Pace group, whilst continuing to grow our core business.

"We are confident that the powerful combination of Pace and 2Wire will deliver enhanced returns for our shareholders, deepen customer relationships and strengthen our leadership position."