APRIL 17, 2009 -- Ignis ASA has signed an agreement to acquire privately held Syntune AB (search Lightwave for Syntune), a Swedish vendor of tunable laser products and technology. Ignis believes the acquisition will widen the company's product range to include active components that will complement its existing passive components portfolio.
Ignis ASA comprises the business division Ignis Technology, which includes 69.3% ownership in Fi-ra Photonics in Korea (search Lightwave for Fi-ra) and the wholly owned subsidiary Ignis Photonyx (search Lightwave for Ignis Photonyx), which has operations in Denmark, Norway, and Canada. Fi-ra supplies optical splitters to large system houses and telecom operators in Southeast Asia, while Ignis Photonyx has a line of AWGs for a variety of applications, including WDM-PON.
As part of the deal, Ignis will issue 8.05 million shares as compensation for all of the shares in Syntune AB to the sellers, which include InnovationsKapital, Vision Capital, and the company founders, Chairman BjÃ¶rn Broberg and CTO Pierre-Jean Rigole.
Syntune will have a cash position of approximately SEK 25 million prior to the acquisition, and interest-bearing debt of approximately SEK 41.8 million. The company also has established a new loan facility of 2.3 million euros. Syntune's cash position is considered sufficient to fund its activities until break even during 2010, says Ignis.
The company completed the qualification of its first generation of products in 2007. Ramp-up of revenue began at the end of 2007 and amounted to gross SEK 18 million in products sold in 2008, with "a significant growth speed into 2009," Ignis asserts.
Ignis ASA signed a letter of intent to acquire Syntune earlier this month. After the approval by the Ignis board of directors, the acquisition remains contingent on approval by the general meeting in Ignis ASA.