Dallas, Texas 09/13/2013 (Financialstrend) – Oclaro, Inc. (NASDAQ:OCLR) has announced the sale of the company’s Oclaro Switzerland GmbH subsidiary as well as the associated laser-diodes business to II-VI Incorporated in a $115 million transaction. In addition to this, II-VI has acquired an exclusive option of buying OCLR’s optical-amplifier and micro-optics business for an amount of $88M in cash.
OCLR’s Chief Executive Officer, Greg Dougherty said that the sale of the company’s Gallium Arsenide laser-diode business is a major first step in the company’s plan of restructuring the company. He said that this business that is based in Zurich and the team with a rich legacy is an extremely valuable asset for the company and that they wish II-VI and the company’s team future success.
He added that the proceeds of this sale will be utilized in repaying the company’s bridge-financing completely and also to commence on its restructuring plans for the future. He said that their intention is to simplify their operating-footprint, focus on Research and Development and reduce the company’s cost structure in the capital-market where they will be able to leverage the company’s core-competencies effectively.
In Thursday’s trading session, OCLR stock rose by 37.74%. The opening price of the company’s shares was $1.38 which rose to an intraday high of $1.59 and closed at $1.46. More than 15.18 million shares were traded on Thursday. The average-volume of OCLR shares traded over a period of 30 days was 0.760 million. The company has a market capitalization of $135.26 million.
OCLR is a leading provider of optical-components, subsystems and modules for the optical-communications market. It is an international leader that is dedicated to the innovation of photonics. It uses cutting-edge R&D and chip-fabrication facilities in the U.S., Italy, U.K., Japan and Korea. It has in-house as well as contract-manufacturing sites in Malaysia, China and Thailand.