As expected, Lumentum closed its acquisition of Oclaro and trading in Oclaro common stock on the NASDAQ Stock Market has ceased.
Under the terms of the merger agreement, Oclaro stockholders will receive $5.60 in cash and 0.0636 of a share of Lumentum common stock for each share of Oclaro common stock that is exchanged in accordance with the terms of the merger agreement. Lumentum financed the cash portion of the transaction consideration with cash from the combined company balance sheets and $500 million from a new term loan entered into in connection with the closing of the transaction.
Lumentum said it anticipates achieving an estimated $60 million in synergies over the next 12-24 months.
“I’m excited to close the acquisition and now move forward with realizing the strong potential of the combined company. The combined scale, resources, talent, and breadth of technologies will help us accelerate innovation and the development of the products our customers and network operators around the world need to handle the tremendous and unrelenting growth in network bandwidth,” said Alan Lowe, president and CEO of Lumentum.
“Completion of the transaction creates a powerful force in the optical industry and tremendous opportunity for employees, customers, and shareholders,” said Greg Dougherty, Oclaro’s CEO. “It was a great pleasure to lead the Oclaro team, and I wish the new combined Lumentum team future success.”
