04 Oct 2007
The deal will expand II-VI's portfolio of infrared and near-infrared laser optics and components.
II-VI is to acquire a majority interest in HIGHYAG, a German supplier of laser processing heads, fiber-optic cables and other beam delivery systems for materials processing applications. The company will purchase 74.9% of HIGHYAG, with the remainder held by HIGHYAG CEO Bjoern Wedel.
HIGHYAG, which was founded in 1995 and is based near Berlin, produces automated equipment to deliver high-power 1 µm laser light for cutting, drilling and welding.
Based in Pennsylvania, US, II-VI manufactures crystalline compounds for infrared laser optics, gamma radiation detectors and electronics applications, and says that the HIGHYAG deal will complement the products of its existing Infrared Optics and Near-Infrared Optics business groups.
"We will be able to provide a wider range of optical components for industrial laser applications," said Francis Kramer, CEO of II-VI. "The acquisition of HIGHYAG is an important part of our growth strategy." The expanded product line will enable II-VI to supply components into the fiber laser market.
"HIGHYAG will gain access to new markets and increased financial strength," commented Wedel, who will remain with the company as managing director. "The deal will emphasize our strategy of being an independent laser component supplier."
HIGHYAG had revenues of $6.2 million during 2006. The deal is expected to close in II-VI's third quarter of fiscal 2008.