Kaiam to Acquire Gemfire

NEWARK, Calif. -- Today, Kaiam Corporation announced a definitive agreement to acquire GC Holdings, Inc., the parent corporation of Gemfire Corporation and Gemfire Europe, Limited (collectively, “Gemfire”), forming a global technology leader in integrated photonic modules. The combination of Kaiam’s industry leading optical sub-system innovations with Gemfire’s high performance silicon-based planar-lightwave circuits (PLCs) enables advanced photonic modules for high-speed, compact, and low-cost interconnects needed to meet the demand for expanding data networking and datacenter markets. Together with substantial new equity financing the company is poised to grow rapidly in step with the 40Gb/s and 100Gb/s markets. The Kaiam micromechanically-aligned 40Gb/s optical engines are qualified and shipping to tier-one customers. Their proprietary packaging innovations allow the best of breed sub-components to be seamlessly integrated into photonic SiPs (System in Package). Gemfire is a proven market leader in PLCs, with over $300M invested to-date in facilities and technology, and delivers high performance integrated optical chips for multiplexing and splitting different wavelengths of light. The combined capabilities of Kaiam and Gemfire enable a compelling value proposition of high performance; small form factor, low power consumption, and competitive pricing to meet the high performance interconnect requirements of datacenter operators around the globe. Magnus Ryde, the President and Chief Executive Officer of GC Holdings, Inc. and the prospective new chairman of Kaiam Corporation commented, “Our favorable cost structure and the best performing silicon PLC’s are a result of our historical commitments and previous investments in advanced research, materials science, and manufacturing infrastructure. The combination of the two companies allows us to rapidly use key elements, such as our athermal platform, to achieve a higher level of overall module performance.” Kaiam Corp.