Emcore will acquire a part of Intel's telecom assets
19 Dec 2007
Semiconductor products maker Emcore Corp said it has agreed to buy the telecom assets of Intel's optical platform division for $85 million. The company plans to expand its fibre optics product portfolio.
The acquired assets are expected to generate $65 million of revenue in 2008, Emcore said in a statement. The Albuquerque, New Mexico-based company expects the deal to boost its path to earnings per share profitability in mid-2008.
Intel said the sale enables it to focus its investments on the core communications and embedded market segments. The world's biggest microchip maker said it is exploring strategic options for the enterprise-focused portion of its optical platform division. The companies expect to close the deal in the first quarter of 2008.