Source/Type: CompoundSemi Online -- Compound Semiconductor Supply Chain News - Reported News

Emcore Agrees Acquire Intel’s Enterprise and Storage Optical Assets; Will Supply CPV cells to XinAo Group in China
Author: CompoundSemi News Staff

April 14, 2008... Emcore of Albuquerque, New Mexico USA, announced a definitive agreement to acquire the enterprise and storage assets of Intel’s Optical Platform Division in addition to the Intel Connects Cables business. Emcore also announced an agreement to supply concentrator photovoltaic cells to XinAo Group in China. Emcore said it will issue 3.7 million shares of restricted stock for the acquisition, with certain adjustments based on Emcore's stock price twelve months after the closing of the transaction. In the Intel deal, Emcore will gain intellectual property, inventory, fixed assets and technology relating to optical transceivers for enterprise and storage customers from Intel. Emcore will also receive optical cable interconnects for high-performance computing clusters. Emcore hopes the acquisition will increase its presence in the optical communications market, especially in the realms of 10 Gigabit Ethernet and storage area network transceivers. Emcore predicts an about $45 million in added revenue over the coming year. Emcore News Release.

Regarding the XinAo deal, Emcore has reported the signing of an agreement with XinAo Group to supply multi-junction CPV systems. Initially, Emcore will deliver a 50 kW, 500x CPV system in Langfang, China to be used for test and evaluation of its reliability and performance. Following that, XinAo says it will install Emcore CPV systems for a major coal gasification project. In addition, the agreement states that XinAo intends to build a CPV system manufacturing plant in China, jointly owned and cerfified by Emcore, to manufacture CPV systems designed and certified by Emcore for the Chinese market. Emcore News Release

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