JDS Uniphase To Acquire IBM`s Optical Transceiver Business - Update [JDSU]
12/19/01 4:10:40 PM JDS Uniphase Corp. (JDSU), a leading fiberoptic communications equipment maker, announced after the close of regular trading on Wednesday that it has reached an agreement to acquire IBM Corp.’s (IBM) optical transceiver business.
Under the terms of the deal, JDS Uniphase will pay IBM $340 million in cash and stock. The company might make additional payment of up to $85 million based on the financial performance of the business.
JDS Uniphase said that the acquisition would expand its product breadth to provide optical solutions to growing data communications markets. Additionally, the IBM team at the optical transceiver business will bring considerable technical depth and expertise to JDS Uniphase.
JDS Uniphase is currently closed Wednesday’s regular trading down 46 cents at $8.40 on a volume of 24.2 million shares. In after hours trading, JDS Uniphase has lost another 4 cents to trade at $8.36.
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