Yuhan Optoelectronic Technology Co., Ltd. canceled the acquisition of Chinese Manufacturing Facilities and Certain Assets of Applied Optoelectronics, Inc.
September 11, 2023
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Yuhan Optoelectronic Technology (Shanghai) Co., Ltd. entered into a definitive agreement to acquire Chinese Manufacturing Facilities and Certain Assets of Applied Optoelectronics, Inc. for $150 million on September 15, 2022. The purchase price of the consideration is $150 million, less a holdback amount. If the Purchase Agreement is terminated for certain specified reasons prior to the Closing, the Purchaser or the Seller, as applicable, will be required to pay a breakup fee equal to 2% of the Purchase Price. The deal is subject to customary closing conditions, AOI stockholders approval and regulatory approvals. The Transaction has been unanimously approved by the Board of Directors of the Company. The transaction is expected to close in 2023. The significant proceeds from this transaction will enable us to make strategic investments in higher margin and higher growth opportunities and the remainder of the net proceeds from the transaction would be used for general working capital purposes. China International Capital Corporation Limited (SEHK:3908) acted as financial advisor to Applied Optoelectronics, Inc.
Yuhan Optoelectronic Technology (Shanghai) Co., Ltd. canceled the acquisition of Chinese Manufacturing Facilities and Certain Assets of Applied Optoelectronics, Inc. on September 12, 2023.
Applied Optoelectronics, Inc. is a vertically integrated provider of fiber-optic networking products. The Company designs and manufactures a range of optical communications products at varying levels of integration, from components, subassemblies, and modules to complete turn-key equipment. The Company also designs, manufactures, and integrates its own analog and digital lasers using the proprietary Molecular Beam Epitaxy (MBE), and Metal Organic Chemical Vapor Deposition (MOCVD) fabrication process. The Company has manufacturing facilities in Taipei, Taiwan and Ningbo, China. The Company manufactures lasers and laser components and performs research and development activities for laser component and optical module products. The Company offers its fiber-optic networking products, primarily for four networking end-markets, such as cable television, (CATV), Internet data center, telecommunications, (telecom), and fiber-to-the-home (FTTH).
Yuhan Optoelectronic Technology Co., Ltd. canceled the acquisition of Chinese Manufacturing Facilities and Certain Assets of Applied Optoelectronics, Inc.
APPLIED OPTOELECTRONICS, INC. 
