SANTA CLARA, Calif., Nov. 4 -- Optics and laser systems manufacturer Coherent Inc. is buying out privately held optical networking component company Iolon Inc. of San Jose, Calif., for $5 million in cash. Prior to the sale of all its assets, Iolon designed and manufactured optical components, including widely tunable lasers for fiber optic networks and filters.
Coherent says it intends to use the acquired technology in its core portfolio, especially for products in the instrumentation and display markets. The physical assets will be transferred to Coherent's existing Santa Clara facilities. The company didn't say what would happen to Iolon's approximately 75 employees.
"In order to enable broader markets for photonics, it is essential that we further improve the robustness of our products, while reducing their size and cost," said John Ambroseo, president and CEO of Coherent, in a written statement. "We believe that the technology and intellectual property that we have acquired from Iolon will assist us in achieving these objectives."
Iolon, a spinoff of Seagate Technology, was founded in 2000 and raised approximately $85 million in venture financing from investors such as Corning, Seagate, Optical Capital Group and Bank of America.
For more information, visit: www.coherent.com