MACOM builds optical base with FiBest acquisition
M/A-COM Technology Solutions, a supplier of high-performance analogue electrical and photonic semiconductor products, today announced it has entered into a definitive agreement to acquire FiBest Limited, a Japanese merchant supplier of optical subassemblies, in an all-cash transaction valued at about $60 million.
Commenting on the transaction, John Croteau, president and chief executive officer of MACOM, said: ‘The FiBest acquisition augments MACOM’s preeminent position in optical networking components, adding high-performance packaging capability. This will enable us to deliver more refined and validated component solutions to our transceiver customers.’
He added: ‘The quality of the optical subassembly is a major factor in achieving the performance, power efficiency and cost targets necessary for 100G in data centres – and becomes mission critical at 200G and 400G data rates. Adding FiBest will significantly expand MACOM’s addressable market with high growth potential for 100G in data centres, as we anticipate an inflection point in demand in 2017.’
MACOM anticipates that the transaction will extends its leadership position in 100G, 200G and 400G optical networking markets, and significantly expands the addressable market in data centres. Another benefits of the deal will be the localised leadership and robust sales channel into the Japanese market that FiBest would provide.
MACOM expects to fund the purchase price of the acquisition with available cash. The deal, which is subject to customary closing conditions, is expected to occur during the company’s fiscal first quarter of 2016.