Sterlite Technologies (STL) on Monday said it has entered into definitive agreements to acquire Italy-based optical interconnect company Optotec, subjected to regulatory approvals. The transaction involves acquisition of 100 per cent sharholding of Optotec at an enterprise value (EV) of 29 million euros.
"The deal will be financed by a mix of internal accruals and foreign currency debt instruments. The closing of the transaction is subjected to customary regulatory approvals," STL said in a press release.
Optotec, a privately held company, provides a complete range of optical interconnect products for telecommunication, FTTH and cloud networks in Europe. It has a strong legacy in optical interconnect portfolio of over 20 years and shares long standing relationships with marquee european telecom operators.
The company said that the acquisition will create a solid springboard to offer a complete bouquet of solutions to customers across Europe, India and the Middle East.
"As the investments by operators in fibre network infrastructure accelerate to support next-gen services like 5G, FTTH and edge cloud, the combination of STL and Optotec will provide our global customers with an enhanced array of innovative products and technologies. Claudio Mega and his team have developed an impressive product portfolio and established a market leading position for Optotec. Most importantly, both Optotec and STL have similar value system and philosophy of technology and innovation, making this acquisition an ideal fitment into STL family," Anand Agarwal, Group CEO.
"We at Optotec are incredibly excited to work with STL to scale our business and expand our customer base. STL, with its global customer access and extensive industrial scale is the perfect partner for our growth journey," Claudio Mega, Optotec CEO.
By Chitranjan Kumar