Goodwin Procter recently advised client CyOptics, Inc. on its merger agreement with entities affiliated with Avago Technologies Ltd. (Nasdaq: AVGO) in which Avago agreed to acquire CyOptics for $400 million in cash.
The acquisition will make CyOptics a wholly owned subsidiary of Avago’s U.S. operating entity. The transaction is subject to customary closing conditions, including the receipt of the U.S. regulatory approvals.
Based in Breinigsville, Penn., CyOptics is a global technology leader in indium phosphide-based optical components. Its products enable applications in the fiber-to-the-home, cable, enterprise/data center and long haul/metro segments of the communications network. The company also makes components for the defense and aerospace, high performance computing, medical and security industries.
Substantially all of CyOptics’ equity is currently held by Jerusalem Venture Partners and TA Associates. Jerusalem Venture Partners, an early investor in CyOptics, is a leading venture capital firm based in Israel that has helped create some of the largest companies to come out of Israel over the past 19 years. TA Associates, one of the oldest and largest growth private equity firms in the world, first invested in CyOptics in March 2012.
Avago is a leading designer, developer and global supplier of a broad range of analog, mixed signal and optoelectronics components and subsystems with a focus in semiconductor design and processing. Based in Singapore with co-headquarters in San Jose, Calif., Avago manufactures products for the wireless communications, wired infrastructure and industrial sectors.
The deal team for this transaction was led by Lawrence Chu and Caine Moss and included Seth Greenstein, Dan Wright; William Weiss (Tax); Lynda Galligan (Executive Compensation); James D. Riley, Jr. and Kevin Lam (IP); Richard Matheny III (CFIUS/ITAR); J. Todd Hahn, (HSR), with invaluable assistance from Brian McPeake and Mitzi Chang.