Media Contacts:
Parker Martineau
Marketing Communications Manager
650-424-1937 x102
pmartineau@GigOptix.com
Company Information:
GigOptix, LLC
2400 Geng Road
Suite 100
Palo Alto, CA 94303
USA
Ph. 650-424-1937 x102
650-424-1937 x132
Fx. 650-424-1938
GigOptix, LLC
Internet:
pr@GigOptix.com
http://www.GigOptix.com
GigOptix LLC Merger with Lumera Corporation Moves GigOptix Inc. Forward in its Accelerated Aggregation Strategy
For Immediate Release
PALO ALTO, Calif./EWORLDWIRE/March 27, 2008 --- GigOptix LLC the leading manufacturer of high-speed PMDs for optically connected systems, today announced the company will merge with Lumera Corporation (NASDAQ: LMRA), a leader in the field of photonic communications. The merger will be GigOptix's second horizontal integration move since the beginning of the year. Dr Avi Katz will retain his position as CEO and chairman of the board, with the combined company to be named GigOptix Inc. to be listed on the NASDAQ market.
Lumera's innovative polymer modulators combined with GigOptix's industry best performing drivers and receivers will provide highly differentiated products to the market while addressing the key challenges of power consumption, size and cost facing the industry as it moves to 100G networks and beyond.
The combined company of GigOptix Inc. is poised to dominate the market of engines for the optically connected digital world. Adding the advanced technology of Lumera brings another highly synergistic capability to the GigOptix portfolio, addresses both long haul and very short reach optical connections with active and passive polymer solutions. An increased level of integration of optical systems electronic components will reduce effort expended by system houses in managing multiple suppliers.
Katz commented, "This merger provides many benefits beyond the combination of the superior technology of both companies. GigOptix stands on a proven record of rapid aggregation and consolidation execution; significant presence and acceptance with global telecom, datacom and consumer-electronics customers; a rapidly growing range of products; a complete global operations team experienced in managing a virtual manufacturing model; and a successful financial model. Coupled with Lumera's advanced products and cash position, this merger creates a new entity with a healthy growth engine. Our increased bargaining power positions us to offer the best industry cost-performance, and a unique and meaningful value proposition to our global customers. The merged company will continue to lead the industry in engines for the optically connected digital world."
"Lumera's strategic roadmap calls for growing our EO product offerings to include optical modules utilizing our innovative polymer technology. GigOptix is currently a leader in electronic engines for high speed optical interconnects," said C. James Judson, chairman of Lumera. "Integrating our superior polymer modulators with GigOptix's leading drivers, receivers and electronic engines will create products that are highly competitive in the communications marketplace and other markets for optically connected devices and systems. The net result is the creation of a company that we believe can be larger than the sum of its parts and substantially accelerates our ability to reach the milestones in our strategic roadmap."
If the merger proceeds as planned, DBSI LLC which presently is GigOptix's majority shareholder through its subsidiaries Stellar Technologies LLC and iTerra Communications LLC, will become the new company's largest shareholder. Doug Swenson, founder and president of DBSI group of companies stated, “Since launching GigOptix last year, the company has exceeded all our expectations. We are very excited by the synergies in this proposed merger and look forward to the shareholder value created."
"This horizontal integration move takes the industry in a positive direction," added Stefan Rochus, vice president of marketing and business development for CyOptics, a leader in Indium Phosphide (InP) optical chip and component technologies. "As experts in photonic devices, we welcome collaborations with partners like GigOptix which drive integration at the electronic engine level."
The current leadership team of GigOptix founded the company in July, 2007, with the vision to execute on an aggregation strategy to dominate the market of engines for the optically connected digital world. Following the acquisition of the assets of iTerra Communications in July, 2007, and Helix Semiconductors in January, 2008, the merger-of-equals with Lumera is the next step in an accelerated roll up plan aimed at bringing a highly attractive portfolio of products to customers.
The merged company will benefit from an experienced management team composed of seasoned veterans of the optics and semiconductor industries. Katz, a Bell Labs alumnus, held several previous positions as CEO where he successfully refocused and turned around high-tech businesses. Mike Forman, CFO, previously held the position of CFO of Tessera Technologies; Peter Biere, CFO of Lumera, will become the general manager of the Lumera division at GigOptix, and Raluca Dinu, will join the management team as vice president of Lumera product development.
The transaction is subject to Lumera shareholder and other regulatory approvals and is expected to close early in the third quarter of 2008.
About GigOptix LLC
GigOptix is a leading fabless semiconductor manufacturer of optoelectronic ICs for optically connected systems. It offers the industries' widest selection of high speed optical Physical Media Dependent (PMD) ICs with a portfolio including modulator drivers, laser drivers and TIAs for telecom, datacom, Infiniband and consumer optical systems, from 3.125G-100G, covering all laser technologies, serial and parallel. GigOptix is a privately held company registered in California, USA with HQ in Palo Alto, Calif., and subsidiary GigOptix-Helix AG in Zurich, Switzerland. For more information, visit http://www.gigoptix.com.
About Lumera Corporation
Lumera is a leader in photonic communications. The company designs electro-optic components based on proprietary polymer compounds for the telecommunications and computing industries. For more information, visit http://www.lumera.com.
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CONTACT:
Parker Martineau
GigOptix
PHONE. 650-796-6197
KEYWORDS: 100g, 100g, 10g, 10ge, 40g, TIA, ULH, helix, high speed semiconductors, inphi, laser driver, limiting amp, Irm, metro, modulator driver, mzm, nrz, optical ic, optical transceivers, transceiver chip, transceiver ic, ultra long haul, Lumera Corporation, LMRA, GIGX, photonic communications, polymer modulators, C James Judson, DBSI LLC, Doug Swenson, CyOptics, Indium Phosphide (InP) optical chip, electro-optic components
SOURCE: GigOptix LLC
