Luna Innovations Inc. (NASDAQ: LUNA) says it has closed the sale of its Optoelectronic Solutions (OPTO) business to OSI Optoelectronics, Inc. a subsidiary of OSI Systems, Inc. Luna will receive up to $18.5 million for the unit. The sale enables Luna to focus on its optical test and measurement operations.
“The transaction demonstrates strong execution of our strategy to focus our business on our core, fiber-optic-based test and measurement technology platform,” said Scott Graeff, Luna’s president and CEO. “Leveraging our industry-leading, proprietary fiber-optics platform will allow us to better serve our customers and to generate long-term growth for our investors and employees. This divestiture is another important step in ensuring we have a robust and flexible balance sheet and a portfolio of complementary, scalable businesses.”
Luna acquired the OPTO assets in 2015 as part of its merger with Advanced Photonix, Inc. (see “Luna, Advanced Photonix to merge”). The division designs and manufactures fully integrated photonic products for a variety of applications. The division reported revenue of $13.1 million for the year ended December 31, 2017. OPTO employees in Camarillo, CA and Montreal, Quebec, are expected to transfer to OSI, which is a vertically integrated designer and manufacturer of specialized electronic systems and components for the homeland security, healthcare, defense, and aerospace industries.
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