StockerYale sells North American operations to Coherent
The company sold the assets of its Montreal, Canada, laser module business and the specialty optical fiber division in Salem, New Hampshire, to Coherent Inc.
StockerYale Inc., a designer and manufacturer of structured light lasers, LED modules, and specialty optical fibers for industrial OEMs, medical, and defense markets, today announced that it sold its North American operations for $15 million cash and the assumption of certain operating liabilities of the Montreal and Salem businesses. As part of the transaction, the Company retired its senior debt, totaling $3.6 million, as well as its line of credit for $3.5 million.
The company sold the assets of its Montreal, Canada, laser module business and the specialty optical fiber division in Salem, New Hampshire, to Coherent Inc., one of the world's leading designers and manufacturer of lasers. The Company will continue to operate both StockerYale Ireland (SYI), which manufacturers LED systems based on its proprietary chip-on-board LED technology and Photonic Products, Ltd. (PPL), which distributes premium laser diodes and manufactures custom laser modules. SYI and PPL represented approximately 47% of total company revenues in 2008.
Mark W. Blodgett, Chairman & CEO of StockerYale Inc. stated, "This transaction enables the company to significantly reduce debt and focus its resources on growing both our LED systems and PPL businesses. With increased focus, we are confident that we can improve both growth and profitability of these two businesses."