Sorrento Networks agreed to acquire LuxN, a start-up provider of optical access solutions, for a combination of stock, warrants, and cash, including some of the cash currently held by LuxN. LuxN claims 25 customers, including Time Warner Telecom, Hawaii I-Net, Yipes Enterprise Services, and numerous universities for its optical access products, which combine CWDM and DWDM on the same platform. Warrants to purchase 400,000 shares of Sorrento will be issued to the Series A-1 Preferred stockholders of LuxN upon the completion of the transaction, which is expected to occur on or before 08-August-2003. Shares in Sorrento are currently trading at $2.62. Sorrento said its merger with LuxN is merely the first step in a growth strategy that includes expanding its product line breadth, adding new customers, and penetrating new markets.
http://www.luxn.com
- LuxN was founded in 1999 and raised over $159 million in funding. Investors included Azure Capital Partners, Credit Suisse First Boston Private Equity, E-TEK Dynamics, CommVest, Storm Ventures, New Enterprise Associates, U.S. Venture Partners, Mitsubishi, Mitsui and Siemens. LuxN is based in Sunnyvale, California.
