Lumentum Holdings said on Monday it would buy Hong Kong-based Cloud Light Technology for about $750 million, as the networking equipment maker looks to capitalize on growing demand for cloud computing.Shares of the California-based company were up nearly 7 per cent in premarket trading.
Lumentum Holdings said on Monday it would buy Hong Kong-based Cloud Light Technology for about $750 million, as the networking equipment maker looks to capitalize on growing demand for cloud computing.Cloud Light, which makes fiber optic equipment and automotive sensors, is expected to expand Lumentum's opportunities in the cloud data center and networking infrastructure space.
Last week, Microsoft's cloud unit beat revenue estimates, displaying resilient demand for cloud-computing platforms across the sector. Lumentum intends to finance the transaction, expected to close by the end of this year, through cash from its balance sheet. BofA Securities is its financial adviser.