8-KOther EventsExhibits & Filings

COHERENT CORP. 8-K Report, Corporate Update (Jun 20, 2017)

Filed June 20, 2017For Securities:COHR

Summary

II-VI Incorporated (now known as Coherent Corp.) announced on June 20, 2017, the acquisition of Integrated Photonics, Inc. for approximately $45.0 million in cash at closing, with potential earn-out payments of up to $2.5 million. Integrated Photonics is a specialist in engineered magneto-optic materials crucial for high-performance directional components, particularly optical isolators used in the optical communications market. This acquisition signals II-VI's strategic move to enhance its capabilities within the optical communications sector by integrating advanced materials and component technology. Importantly, the company also affirmed its previously issued revenue and Earnings Per Share (EPS) guidance for its fourth fiscal quarter ended June 30, 2017. This indicates that management does not anticipate the acquisition to materially impact its short-term financial outlook, providing a level of certainty for investors amidst the strategic growth initiative. The filing incorporates the press release detailing this acquisition.

Key Highlights

  • 1Acquisition of Integrated Photonics, Inc. completed for approximately $45.0 million cash at closing.
  • 2Potential for up to $2.5 million in earn-out payments tied to future performance.
  • 3Integrated Photonics is a leader in magneto-optic materials for optical communications.
  • 4Acquisition strengthens II-VI's position in optical components, specifically optical isolators.
  • 5Company reaffirms unchanged revenue and EPS guidance for Q4 FY2017.
  • 6The acquisition is expected to bolster the company's offerings in the optical communications market.

Frequently Asked Questions

The acquisition of Integrated Photonics, Inc. was driven by its leadership in engineered magneto-optic materials, which are critical for producing high-performance directional components like optical isolators. This move aims to enhance II-VI's technological capabilities and product portfolio within the rapidly growing optical communications market.

The total consideration for the acquisition includes approximately $45.0 million paid at closing, plus potential earn-out payments of up to an additional $2.5 million, subject to certain adjustments and performance metrics.

The company stated that its revenue and EPS guidance for the fourth fiscal quarter ended June 30, 2017, remains unchanged. This suggests that management does not foresee any immediate material impact on the company's short-term financial performance as a result of this acquisition.

Integrated Photonics, Inc. primarily serves the optical communications market by providing engineered magneto-optic materials essential for optical isolators and other high-performance directional components.