After the markets closed last night, Oclaro Inc. (NASDAQ: OCLR) and Opnext Inc. (NASDAQ: OPXT) announced a definitive merger agreement that will give Opnext shareholders 0.42 shares of Oclaro common stock for each share of Opnext stock they own. At last night’s closing price of $4.66/share for Oclaro, that values Opnext at around $170 million.
The transaction is expected to close in three to six months and Opnext shareholders will own 42% of the combined company. The companies anticipate transaction costs of $20-$30 million and annualized cost synergies of $35-$45 million within 18 months of the deal’s closing.
Shares of Opnext are up about 47% today, at $1.66 in a 52-week range of $078-$3.05.
Shares of Oclaro are down about -8.8% at $4.25 in a 52-week range of $2.68-$12.02.
Take This Retirement Quiz To Get Matched With An Advisor Now (Sponsored)
Are you ready for retirement? Planning for retirement can be overwhelming, that’s why it could be a good idea to speak to a fiduciary financial advisor about your goals today.
Start by taking this retirement quiz right here from SmartAsset that will match you with up to 3 financial advisors that serve your area and beyond in 5 minutes. Smart Asset is now matching over 50,000 people a month.
Click here now to get started.
Thank you for reading! Have some feedback for us?
Contact the 24/7 Wall St. editorial team.
Latest from 24/7
