Engineered materials and optoelectronic components maker II-VI Incorporated (Pittsburgh, PA) and Finisar (Sunnyvale, CA), which manufactures optical communications components and systems, have entered into a definitive merger agreement under which II-VI will acquire Finisar in a cash and stock transaction with an equity value of approximately $3.2 billion.
The two companies have complementary capabilities and cultures to form a formidable photonics and compound semiconductors company capable of serving the fast-growing communications, consumer electronics, military, industrial processing lasers, automotive semiconductor equipment, and life sciences markets. Together, they will employ over 24,000 associates in 70 locations worldwide upon closing of the transaction.
The combined company will provide a full line and scalable supply of datacom transceivers, products based on coherent transmission technology, and reconfigurable optical add/drop multiplexer (ROADM) solutions. It will market products into next-generation undersea, long-haul, and metro networks, hyperscale datacenters, and in 5G optical infrastructure.
Upon closing of the transaction, Dr. Vincent D. Mattera, Jr., president and CEO of II-VI Incorporated, will continue to serve in this role with the combined company. In connection with the closing of the transaction, three Finisar board members will be appointed to the II-VI Board, which will be expanded to 11 directors.