Fujikura expands optical equipment power by buying Nistica

Fujikura, a Japanese wire and cable manufacturer, is acquiring Bridgewater, N.J.-based Nistica in a move to expand its presence in the growing optical equipment market segment.

So what does it get out of the deal? By acquiring Nistica, Fujikura will complement its portfolio of optical fibers, cables and optical devices with Nistica's set of optical network modules.

Among the key elements that Nistica brings to the table are its FULL FLEDGE series of wavelength selective switches (WSS) in addition to its newly launched high port‐count FOURIER modules are being designed into systems geared toward colorless, directionless, contentionless and gridless networks.

While the deal is new, neither company is a stranger to one another as Fujikura has been an investor in Nistica since 2007.

As part of the purchase agreement, Fujikura will acquire the remaining shares in Nistica that it does not already own. To ensure there's no impact on production, Nistica's founders and major employees have signed agreements to stay with the company in order to maintain product development roadmaps and related production goals. Going forward, Nistica will become a Fujikura subsidiary.

Following customary closing conditions, Fujikara expects to complete the purchase in its fiscal year 2012. NTT Electronics will maintain its share in the company.

The purchase illustrates ongoing optical equipment consolidation trend that's taking place in ROADM and WSS component segments, which Infonetics forecasts will start to see revenues begin to grow again this year.

For more:
- see the release

Special report: In detail: Tracking the 100G path

Related articles:
ROADM and WSS components to resume growth in 2012
Oclaro and Opnext merger consolidates more of the optical component market
Cisco wraps up its acquisition of Lightwire
Oclaro debuts after Bookham-Avanex merger

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