Analog Devices Inc. today announced it will acquire BCO Technologies plc in Northern Ireland to increase its focus on optical devices for communications applications. The U.S. analog chip supplier said it will trade stock, valued at $150 million, for the Belfast-based producer of integrated circuit wafers for micro-mechanical optical components.
The acquisition is part of Analog Devices' efforts in recent years to accelerate growth in optical network products, said Jerald G. Fishman, president and CEO of the Norwood, Mass., company. "Micromachine technology will become increasingly critical as networks evolve to all-optical transmission modes," Fishman added.
The Analog Devices chief executive claimed his company's advanced micromachine technology, coupled with integrated analog and mixed-signal IC technology integrated on the same devices, "uniquely positions ADI to become an important vendor to the optical network market." He said BCO is a leader in thick-film bonded wafers and silicon-on-insulator (SOI) technology, which will further enhance Analog Devices' position.
The acquisition is expected to be completed in August, following a vote by shareholders of both companies. BCO employees 90 people at its factory in Belfast.