STL, an industry-leading integrator of digital networks, has signed definitive agreements to acquire Optotec SpA, an Italy-based optical interconnect products company
Optotec, a privately held company, provides a complete range of optical interconnect products for telecommunication, FTTH and Cloud Networks in Europe.
Optotec, under its patented technology, has an end-to-end portfolio ranging from Outside Plant (OSP) to Central Office (CO) to Customer Premises (CP) that would complement STL’s ‘Opticonn’ offering of optical fibre and cables for a truly integrated products portfolio. Optotec has a strong legacy in the optical interconnect portfolio of more than 20 years and shares long-standing relationships with marquee European telecom operators.
The transaction is structured to acquire 100% of Optotec’s shareholding on closing at an enterprise value (EV) of €29mn (US$33mn). The deal will be financed by a mix of internal accruals and foreign currency debt instruments. The closing of the transaction is subjected to customary regulatory approvals.
The acquisition will create a solid springboard to offer solutions to customers across Europe, India and the Middle East.
“As the investments by Operators in fibre network infrastructure accelerate to support next-gen services like 5G, FTTH and edge cloud, the combination of STL and Optotec will provide our global customers with an enhanced array of innovative products and technologies. Claudio Mega and his team have developed an impressive product portfolio and established a market-leading position for Optotec. Most importantly, both Optotec and STL have a similar value system and philosophy of technology and innovation, making this acquisition an ideal fitment into STL family,” said Anand Agarwal, Group CEO.
“We at Optotec are incredibly excited to work with STL to scale our business and expand our customer base. STL, with its global customer access and extensive industrial, the scale is the perfect partner for our growth journey,” commented Claudio Mega, Optotec CEO.
