OXFORDSHIRE, U.K., Oct. 7, 2002 (PRIMEZONE) -- Bookham Technology plc (LSE:BHM) (Nasdaq:BKHM) ("Bookham" or the "Company"), a leading provider of integrated optical components and subsystems for fibre optic communication networks, today announced that it has entered into an agreement to acquire the Optical Transmitter and Receiver and Optical Amplifier Businesses of Nortel Networks Corporation ("Nortel") (the "Combination"). As part of the Combination, Nortel Networks Limited, a subsidiary of Nortel, has also agreed to enter into a U.S. $120.0 million (76.5 million pounds)(1) supply agreement with Bookham. The Combination is subject, inter alia, to approval by Bookham's shareholders at an Extraordinary General Meeting to be held on November 5, 2002 ("EGM").
(1) the exchange rate used throughout is 1 pound: $1.5686
An analyst briefing will be held at Financial Dynamics (Holborn Gate, 26 Southampton Buildings, London WC2A 1PB) at 10.00 a.m. U.K. time today and a conference call is scheduled for 2.30 p.m. U.K. time today (call in details, U.K.: +44 20 8240 8240, U.S.: +1 800 513 7968).
The conference call will be available approximately one hour after the call finishes on replay number U.K.: +44 20 8288 4459 (pin code 204602) and U.S.: +1 703 736 7336 (pin code 204602) and via audiocast www.bookham.com.
This announcement should be read in conjunction with the further details set out below.
Bookham Technology (LSE:BHM) (Nasdaq:BKHM) designs, manufactures and markets integrated optical components and modules using high-volume production methods. With three disruptive semiconductor technologies that offer intrinsic cost reduction: patented silicon-based ASOC, Gallium Arsenide and Indium Phosphide, the company provides end-to-end networking solutions that offer higher performance and greater systems capability to communications network system providers. The Company, whose securities are traded on NASDAQ and the London Stock Exchange, is headquartered in the U.K., with offices and manufacturing facilities in Abingdon and Caswell, in the U.K., and has additional offices in U.S., France, Italy, Japan and China. The company employs approximately 750 people world-wide.
More information on Bookham Technology is available at www.bookham.com
Bookham and ASOC are registered trademarks of Bookham Technology plc Statements made in this announcement include certain forward-looking statements that involve risks and uncertainties. Important factors that could cause actual results to differ from those indicated by such forward-looking statements include, among others, uncertainties relating to demand for the group's products, demand for optical components generally and overall future growth in the market for optical components, issues surrounding integration of the Optical Transmitter and Receiver and Optical Amplifier Businesses being acquired from Nortel Networks Corporation, uncertainties relating to the group's investment in, and reorganisation of, its manufacturing capacity, production equipment and personnel and related impact on profitability, quarterly variations in financial results, manufacturing capacity yields and inventory, intellectual property issues and other uncertainties that are discussed in the "Risk Factors" of the listing particulars of the Company which are to be published in connection with the Combination and which will be filed with the United Kingdom Listing Authority and the Registrar of Companies in England and Wales and which will be submitted to the Securities and Exchange Commission. Forward-looking statements represent the group's estimates as of the date made, and should not be relied upon as representing the group's estimates as of any subsequent date. While the group may elect to update forward-looking statements in the future, it disclaims any obligation to do so. Morgan Stanley is acting exclusively for Bookham and no-one else and will not be responsible for providing to anyone other than Bookham the protections afforded to clients of Morgan Stanley or for providing advice in relation to the proposed transaction. Morgan Stanley can be contacted at 25 Cabot Square, Canary Wharf, London E14 4QA, United Kingdom.
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