Lumentum Completes NeoPhotonics Acquisition
Lumentum hopes to achieve $50 million in annual cost savings within 24 months
Optical networking and laser applications company Lumentum has completed its previously announced acquisition of the laser and optoelectronics firm NeoPhotonics. Both have HQs in San Jose, California.
"I am excited to unite NeoPhotonics' differentiated products and technology and talented team with those of Lumentum," said Alan Lowe, Lumentum president and CEO.
"This acquisition better positions us for attractive growth opportunities created by the digital transformation of work and life, which is driving relentless growth in the needed volumes and performance of cloud and network infrastructure. I welcome our new colleagues to the Lumentum team and want to thank NeoPhotonics' CEO Tim Jenks and the rest of NeoPhotonics' leadership team for their contributions in getting us to this important milestone."
Under the terms of the merger agreement, NeoPhotonics stockholders will receive $16.00 in cash for each share of NeoPhotonics common stock in accordance with the terms of the merger agreement.
Lumentum anticipates achieving more than an estimated $50 million in annual run-rate synergies (cost savings) within 24 months of the closing of the transaction. Lumentum financed the transaction consideration with cash from the combined companies' balance sheets.
Due to the timing of the closing of the NeoPhotonics acquisition, there is no impact to Lumentum's fiscal fourth quarter 2022.