Acquisition
Gooch & Housego PLC
08 May 2007
For immediate release 8 May 2007
Gooch & Housego PLC
Acquisition of SIFAM Fibre Optics Ltd
Gooch & Housego PLC, the specialist manufacturer of optical components and
systems, today announces that it has acquired 100% of the issued share capital
of SIFAM Fibre Optics Ltd ('SIFAM') for a consideration of £5.0 million.
SIFAM is the global technology leader in fused fibre technology. It manufactures
a broad range of passive and active fibre optic components, and integrated
modules and systems incorporating fibre optics, sources, detectors and
associated electronics. The principle markets addressed by SIFAM are
telecommunications, biomedical, industrial and aerospace and defence. SIFAM is
the market leader in high-reliability fused fibre products for submarine
telecommunications applications.
SIFAM Fibre Optics Ltd was founded in 2002 following a management buyout of JDS
Uniphase UK Ltd.
SIFAM occupies modern, well-equipped facilities in Torquay, Devon, where it
employs 93 people engaged in research and development and low-volume
manufacturing of specialised products and systems. Higher volume products, for
example those for terrestrial telecommunications applications, are out-sourced
to a manufacturing partner in the Czech Republic.
For the 12 months ended 30th September 2006, SIFAM had audited revenues and
profit before tax of £3.9 million and £0.22 million respectively. The
consideration of £5.0 million was satisfied by a combination of cash and shares
in Gooch & Housego PLC, with the management shareholders taking shares. All
members of the management will continue with the business. We expect the
acquisition to be earnings enhancing in the first year.
Gareth Jones, Chief Executive of Gooch & Housego, commented:
'SIFAM has an experienced management team, a capable workforce and a world-class
product range. The fit with Gooch & Housego in terms of products, technologies
and markets is excellent.
For Gooch & Housego, the addition of an in-house fibre optics capability will
allow us to extend our product range and address new applications and markets.
In SIFAM we have not just acquired a capability in this field; we immediately
become a world leader in several key aspects of the technology.
Looking forward, there is a high degree of convergence between the technologies
and products that Gooch & Housego has identified in its roadmap, and those that
SIFAM is active in. For example, the industrial and medical laser market is very
important to Gooch & Housego, and fibre lasers is the fastest growing sector of
this market. SIFAM is a key supplier to all of the world's leading fibre laser
manufacturers, and I would expect further products to result from a programme of
joint development with Gooch & Housego.
Similarly, in the biomedical and life sciences arena, the activities of both
businesses are highly complementary. We now have the ability to address a number
of exciting new opportunities in the fields of microscopy and diagnostic
instrumentation by combining the technologies and resources of Gooch & Housego
and SIFAM.'
This transaction is a substantial transaction under Rule 12 of the AIM Rules for
Companies (the 'AIM Rules).
This announcement is made in accordance with Rule 12 and Schedule 4 of the AIM
Rules.
Contacts:
Gareth Jones, Chief Executive Officer 01460 52271
Tim Thompson / Susanna Gale, Buchanan 020 7466 5000
Communications
Scott Richardson-Brown, Oriel Securities Ltd 020 7710 7600
About Gooch & Housego PLC
Gooch & Housego is a manufacturer of acousto-optic and electro-optic devices,
precision optical components, crystals, optical instruments and imaging systems.
Based in Ilminster, UK, it has operations in the UK, USA and Germany. In several
of its activities Gooch & Housego is considered a world leader. The Queen's
Award for Enterprise: International Trade was conferred upon the UK business in
2006.
About Sifam Fibre Optics Ltd
In 1927, a French manufacturing company called SIFAM, the Societe Industielle
pour la Fabrication d'Appareil de Mesure established an English distributor in
London. The English company became a leading manufacturer of analogue meter
products moving to Torquay in South West England during World War 2 and thriving
throughout the 1950's, 60's and 70's. With the development of digital technology
SIFAM needed new markets and branched into the development of fibre optics
products in the 1980's. The first fibre optic product was sold in 1985 and
further products were developed over the next decade. In the late 1990's SIFAM
experienced a period of rapid growth, leading up to the acquisition of the fibre
optics activities of the company by JDS Uniphase Corporation in 1999.
This information is provided by RNS
The company news service from the London Stock Exchange
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