New Focus acquires Globe Y. Technology

Feb. 16, 2001
New Focus, Inc., a supplier of fiber optic products for next-generation optical networks under the Smart Optics for Networks brand, announced that the company has completed its acquisition of Globe Y. Technology, Inc.

New Focus, Inc. (Nasdaq: NUFO), a supplier of fiber optic products for next-generation optical networks under the Smart Optics for Networks brand, announced that the company has completed its acquisition of Globe Y. Technology, Inc. The merger will be treated as a purchase transaction for accounting purposes. Globe Y. Technology, Inc. will operate as a wholly owned subsidiary of New Focus.

At the closing of the transaction on February 15, New Focus issued 1,055,264 shares of its common stock in accordance with the merger terms, based on a ten-day average closing price of $47.3815 per share, for an aggregate consideration of approximately $50 million.

New Focus reported a pro forma net loss of $12.2 million on $80.4 million in revenue for the twelve months ended December 31, 2000. Based on unaudited results, Globe Y. Technology and its predecessor company Globe Y. Manufacturing operated profitably for the twelve months ended December 31, 2000 on revenues of approximately $7.3 million. Globe Y.'s gross and operating margin percentages are already higher than New Focus' actual fourth quarter margins and targeted margins for 2001.

As a result, the Globe Y. transaction will be accretive to the revenue and margin lines, measured on a pro forma per share basis excluding acquisition-related charges such as goodwill and compensation expenses, in the first full quarter of combined operations.

Sponsored Recommendations

New Optical Wavelength Service Trends

July 1, 2024
Discover how optical wavelength services are reshaping the telecom landscape, driven by rapid expansion and adoption of high-speed connections exceeding 100 Gbps, championed by...

ON TOPIC: Innovation in Optical Components

July 2, 2024
Lightwave’s latest on-topic eBook, sponsored by Anritsu, will address innovation in optical components. The eBook looks at various topics, including PCIe (Peripheral...

Balanced vs. Unbalanced PON: Key Differences and Deployment Impact

Nov. 7, 2023
Learn how to choose the right PON architecture for your network.

The Pluggable Transceiver Revolution

May 30, 2024
Discover the revolution of pluggable transceivers in our upcoming webinar, where we delve into the advancements propelling 400G and 800G coherent optics. Learn how these innovations...