LIGHTPATH TECHNOLOGIES, INC. COMPLETES THE ACQUISITION OF GELTECH, INC.
ALBUQUERQUE, N.M., Sept. 22 /PRNewswire/ -- LightPath Technologies, Inc.
(Nasdaq: LPTH - NEWS), manufacturer of families of high performance fiber-optic
collimator, isolator and mechanical switch products, announced the closing of
the previously announced acquisition of Geltech, Inc. As required by the
agreement signed on August 9, 2000, LightPath has issued 822,737 shares of
LightPath class A common stock in exchange for all of the stock of Geltech.
Based on the share price at the time of the agreement, the transaction has been
recorded at a price of $27.5 million. LightPath also assumed Geltech's debt of
approximately $1.4 million. The transaction will be accounted for using the
purchase accounting method, resulting in a significant amount of goodwill, which
is anticipated to be amortized over a relatively short time period. Any
in-process research and development acquired by LightPath will be expensed at
the time of the acquisition. These amounts will be reflected beginning in the
Company's first quarter.
About Geltech
Geltech, a privately held company headquartered in Orlando, Florida, is a
leading manufacturer of precision molded aspherical optics used in the active
telecom components market to provide a highly efficient means to couple laser
diodes to fibers or waveguides. Additionally, Geltech has a unique and
proprietary line of all-glass diffraction gratings (StableSil(R)) for telecom
applications such as optical switching, mux/demux and laser tuning as well as a
product family of Sol-Gel based waveguides.
Geltech will continue to operate from its 23,000 and 12,000 square-foot
facilities in Orlando, Florida and Auburn, California, respectively, as a wholly
owned subsidiary of LightPath. Dr. Jean-Luc Nogues and D. Todd Childress will
continue in their current roles as President/CEO/COO and Chief Financial
Officer, respectively, of Geltech.
About LightPath
LightPath manufacturers its proprietary collimator assemblies, GRADIUM(R) glass
products and other optical telecommunications products at its headquarters in
Albuquerque. The Company's other subsidiary, Horizon Photonics, manufacturers
isolator products utilizing its proprietary automation technology in Walnut,
California. LightPath also has an office in Warren, New Jersey for the purpose
of developing various optical switch products. After the acquisition, the
Company has 46 U.S. patents, plus 8 more pending, associated with its optical
technologies. In addition, various foreign countries have issued a total of 18
patents with 28 patents pending. LightPath common stock trades on the Nasdaq
National Market under the stock symbol LPTH.
Contacts: Donald E. Lawson, President & CEO of LightPath
Donna Bogue, CFO of LightPath
LightPath Technologies, Inc. (505) 342-1100
Internet: www.light.net
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Dr. Jean-Luc Nogues, CEO of Geltech
D. Todd Childress, CFO of Geltech
Geltech, Inc. (407) 382-4003
Internet: www.geltech.com
This news release includes statements that may constitute forward-looking
statements made pursuant to the safe harbor provisions of the Private Securities
Litigation Reform Act of 1995. This information may involve risks and
uncertainties that could cause actual results to differ materially from such
forward-looking statements. Factors that could cause or contribute to such
differences include, but are not limited to, factors detailed by LightPath
Technologies, Inc. in its public filings with the Securities and Exchange
Commission.
SOURCE: LIGHTPATH TECHNOLOGIES, INC.
