II-VI to Acquire CoAdna for $85 Million

II‐VI Incorporated a supplier of engineered materials and optical solutions for networks announced its intention to acquire CoAdna, Holdings, Inc. based in Sunnyvale, California USA. The cash transaction is valued at about $85 million at closing. The transaction price includes the acquisition of CoAdna’s about $40 million in cash. The acquisition is expected to close in the 3rd quarter of the 2018 calendar year and is subject to the approval of CoAdna’s shareholders, as well as regulatory approvals, and customary closing conditions.

Founded in 2000, CoAdna is maker of wavelength selective switches (WSS) using its patented LightFlow™ liquid crystal technology and micro-optics from II-VI. CoAdna says its WSS modules have a long history of successful field deployments and have been integrated into optical networks solutions that use II-VI’s optical channel monitors, optical amplifiers, and other II-VI components on ROADM line cards developed by II-VI, CoAdna and their customers.

II-VI and CoAdna’s Combined Portfolio for ROADM Line Cards

The companies’ combined portfolio of products for ROADM line cards will feature tunable mux/demux, dual-chip pump lasers, fixed- and flex-band 1xN WSS, arrayed-EDFAs, passive components, high-resolution optical channel monitors, and optical time domain reflectometers. II-VI also designs and produces fully-integrated ROADM line cards. CoAdna will contribute its OvS™ platform to the joint product portfolio. The OvS™ platform offers a distributed cross-connect architecture for data center networking.

“CoAdna and II-VI have been great business partners for many years, leveraging each other’s complementary products and technologies to serve the optical transport market,” said Sunny Sun, president, Photonics Segment, II-VI Incorporated. “We are eager to realize our synergies to grow the WSS business over our strong sales channels and shorten the time to market for our new products. With our manufacturing scale, unmatched vertical integration and broad product portfolio, we are well positioned for the growth in ROADM demand driven by metro network upgrades, new datacenter interconnect architectures and the emerging 5G wireless infrastructure.”