8th May 2007 07:02
Gooch & Housego PLC08 May 2007 For immediate release 8 May 2007 Gooch & Housego PLC Acquisition of SIFAM Fibre Optics Ltd Gooch & Housego PLC, the specialist manufacturer of optical components andsystems, today announces that it has acquired 100% of the issued share capitalof SIFAM Fibre Optics Ltd ("SIFAM") for a consideration of £5.0 million. SIFAM is the global technology leader in fused fibre technology. It manufacturesa broad range of passive and active fibre optic components, and integratedmodules and systems incorporating fibre optics, sources, detectors andassociated electronics. The principle markets addressed by SIFAM aretelecommunications, biomedical, industrial and aerospace and defence. SIFAM isthe market leader in high-reliability fused fibre products for submarinetelecommunications applications. SIFAM Fibre Optics Ltd was founded in 2002 following a management buyout of JDSUniphase UK Ltd. SIFAM occupies modern, well-equipped facilities in Torquay, Devon, where itemploys 93 people engaged in research and development and low-volumemanufacturing of specialised products and systems. Higher volume products, forexample those for terrestrial telecommunications applications, are out-sourcedto a manufacturing partner in the Czech Republic. For the 12 months ended 30th September 2006, SIFAM had audited revenues andprofit before tax of £3.9 million and £0.22 million respectively. Theconsideration of £5.0 million was satisfied by a combination of cash and sharesin Gooch & Housego PLC, with the management shareholders taking shares. Allmembers of the management will continue with the business. We expect theacquisition to be earnings enhancing in the first year. Gareth Jones, Chief Executive of Gooch & Housego, commented: "SIFAM has an experienced management team, a capable workforce and a world-classproduct range. The fit with Gooch & Housego in terms of products, technologiesand markets is excellent. For Gooch & Housego, the addition of an in-house fibre optics capability willallow us to extend our product range and address new applications and markets.In SIFAM we have not just acquired a capability in this field; we immediatelybecome a world leader in several key aspects of the technology. Looking forward, there is a high degree of convergence between the technologiesand products that Gooch & Housego has identified in its roadmap, and those thatSIFAM is active in. For example, the industrial and medical laser market is veryimportant to Gooch & Housego, and fibre lasers is the fastest growing sector ofthis market. SIFAM is a key supplier to all of the world's leading fibre lasermanufacturers, and I would expect further products to result from a programme ofjoint development with Gooch & Housego. Similarly, in the biomedical and life sciences arena, the activities of bothbusinesses are highly complementary. We now have the ability to address a numberof exciting new opportunities in the fields of microscopy and diagnosticinstrumentation by combining the technologies and resources of Gooch & Housegoand SIFAM." This transaction is a substantial transaction under Rule 12 of the AIM Rules forCompanies (the "AIM Rules). This announcement is made in accordance with Rule 12 and Schedule 4 of the AIMRules. Contacts: Gareth Jones, Chief Executive Officer 01460 52271Tim Thompson / Susanna Gale, Buchanan 020 7466 5000CommunicationsScott Richardson-Brown, Oriel Securities Ltd 020 7710 7600 About Gooch & Housego PLC Gooch & Housego is a manufacturer of acousto-optic and electro-optic devices,precision optical components, crystals, optical instruments and imaging systems.Based in Ilminster, UK, it has operations in the UK, USA and Germany. In severalof its activities Gooch & Housego is considered a world leader. The Queen'sAward for Enterprise: International Trade was conferred upon the UK business in2006. About Sifam Fibre Optics Ltd In 1927, a French manufacturing company called SIFAM, the Societe Industiellepour la Fabrication d'Appareil de Mesure established an English distributor inLondon. The English company became a leading manufacturer of analogue meterproducts moving to Torquay in South West England during World War 2 and thrivingthroughout the 1950's, 60's and 70's. With the development of digital technologySIFAM needed new markets and branched into the development of fibre opticsproducts in the 1980's. The first fibre optic product was sold in 1985 andfurther products were developed over the next decade. In the late 1990's SIFAMexperienced a period of rapid growth, leading up to the acquisition of the fibreoptics activities of the company by JDS Uniphase Corporation in 1999. This information is provided by RNS The company news service from the London Stock ExchangeRelated Shares:
Gooch & Housego