II-VI acquires advanced ceramics producer for $71.4M
II-VI Inc., a high-tech optics manufacturer based in Saxonburg, said on Thursday it acquired a Connecticut-based developer of advanced ceramic materials for at least $71.4 million in cash.
M Cubed Technologies Inc. is a privately held company based in Newton, Conn., that also develops precision motion control products. It had $52 million in revenue in the year ended June 30.
M Cubed's 200 workers are expected to join II-VI, which employs 6,030 people, including 450 in Saxonburg. The acquired company's employees will remain based at their plant in Monroe, Conn., administrative office in Newtown, Conn., and plant in Newark, Del., said Craig Creaturo, chief financial officer of II-VI.
As a result of the deal, which closed Thursday, II-VI said it expected revenue in the year ending June 30 to range between $585 million and $595 million, up from the previous $550 million to $560 million.
Annual earnings are now expected to range between $1.01 and $1.09, up from the previous $1.00 to $1.06.
II-VI might pay as much as $2.5 million more for the company by yearend, depending on customary adjustments to working capital. The local company said it exercised an option to expand its unsecured credit facility with PNC Bank to $80 million from $50 million.
The M Cubed operation will be folded into II-VI's Advanced Products Group.