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II‐VI Inc., a global provider of engineered materials and optoelectronic devices, has completed its acquisition of Finisar Corp. The acquisition was first announced Nov. 9, 2018. II-VI, which is headquartered in Saxonburg, expects to achieve $150 million in run rate synergies over the next three years.

The financing for the transaction was $1.9 billion cash raised in a combination of Term Loans A and B with a combined interest rate of L+251 and $1.1 billion of the company’s stock. Finisar shareholders will own approximately 32 percent of the combined company.

Under the terms, Finisar shareholders receive an average $15.60 in cash and 0.2218 shares of II-VI common stock per 1.0 share of Finisar common stock, depending on each shareholder’s election as laid out in the merger agreement. This transaction is fully taxable to Finisar shareholders.

“The powerful combination of II-VI and Finisar makes us the global leader in optical communications and continues our leadership in our other key end markets, with a world-class product portfolio and deep technology expertise that enables us to offer more tightly integrated solutions and exceptional overall value for our customers,” II-VI CEO Vincent D. Mattera Jr., Ph.D., said in a statement.

II-VI is not providing updated guidance for its first quarter at this time. In the quarter end earnings call in early November, the company will provide more details to Finisar’s contributions to the first quarter.

Finisar provides optical communications components and subsystems to networking equipment manufacturers, data center operators, telecom service providers, consumer electronics and automotive companies. The company is headquartered in Sunnyvale, California, with R&D, manufacturing sites and sales offices worldwide.