CyOptics Completes Acquisition Of TriQuint's Semiconductor's Optoelectronics Division
Lehigh Valley, Penn. - CyOptics, Inc., a leading supplier of high-speed optical chips and components for broadband communication solutions, today announced the completion of the acquisition of TriQuint's (NASDAQ:TQNT) optoelectronics operations in Pennsylvania and Matamaros, Mexico. The transaction was valued at approximately $23.5 million including a combination of cash, equity and seller financing. CyOptics' leading device design and packaging technologies will be combined with TriQuint's increased market share and larger volume production capability to broaden CyOptics' product line and further expand market opportunities with Indium Phosphide (InP) optical chips and laser and detector components.
CyOptics also announced the closing of its Series F funding round, in which an additional $24 million in equity and debt financing was raised. Major equity participants in the latest round include JVP (Jerusalem Venture Partners), Sprout Group, TowerBrook Capital Partners (formerly Soros Private Equity Partners), and Eurofund. This announcement comes just eight months after CyOptics closed its Series E round, which totaled $10.3 million.
"We are pleased to announce this acquisition and capital raise, and are extremely satisfied with the Company's growth and the continued support of our investors," said Ed Coringrato, President and CEO of CyOptics. "TriQuint's optoelectronics business is regarded as one of the best in the industry, because of its talented people and pioneering development of optoelectronic products. The acquisition allows TriQuint's broad portfolio of products to be coupled with CyOptics' exceptional design and packaging technologies to create a new standard of innovation and customer service excellence."
The acquisition provides much needed convergence in the optical component sector and will result in a provider that is optimally sized and poised to return to profitability within the current calendar year. CyOptics' main near-term priorities include assuring no interruptions of service or supply to its customers through a smooth integration of its operations, and working closely with customers to develop new growth opportunities.
About CyOptics
Founded in 1999, CyOptics is a full line supplier of InP chips and laser and detector components for broadband access, metro and long haul communications systems. CyOptics is an industry leader in the design, development and manufacture of next-generation optical engines that are five times smaller than the current industry standard components, in order to maximize the functional density/price. CyOptics optical engines also require less electrical operating power and have wider operating temperature ranges than traditional solutions. High-volume production is enabled through a highly flexible, "nano-tech" capable robotic manufacturing process that delivers high uniformity and low cost. The CyOptics team consists of industry veterans that have had management and technology positions with key players including Bell Labs, Lucent Technologies and National Semiconductor. The Company's wafer/chip fabrication operations are located in Lehigh Valley, Pennsylvania and Yokneam Illit, Israel, while its automated packaging and testing operations are located in Matamoros, Mexico. CyOptics is ISO 9001:2000 certified. For more information, please visit www.cyoptics.com or call 1-610-336-5758.