Lumentum Holdings Inc. · NASDAQ:LITE
Lumentum — Merger or Acquisition (November 2021)
15 slides from Lumentum's merger presentation, Nov 4, 2021
Slide 1: Lumentum to Acquire NeoPhotonics
Lumentum to Acquire NeoPhotonics Accelerating optical network speed and scalability November 4, 2021
Slide 2: Cautionary note regarding forward looking statements
Cautionary note regarding forward looking statements This communication contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Forward-looking statements generally relate to
Slide 3: Additional information and where to find it
Additional information and where to find it This communication is being made in respect of a proposed business combination involving Lumentum and NeoPhotonics. NeoPhotonics will file relevant materials with the Securities and Exchange Commission (the “SEC”) in connection with the proposed transactio
Slide 4: Call Participants
Call Participants Alan Lowe Tim Jenks Wajid Ali Chris Coldren President & Chief President, Chief Executive Executive Vice President Senior Vice President, Executive Officer, Officer & Chairman, and Chief Financial Officer, Strategy and Corporate Lumentum NeoPhotonics Lumentum Development, Lumentum ©
Slide 5: © 2021 Lumentum Operations LLC
+ © 2021 Lumentum Operations LLC 5
Slide 6: Combination addresses large and growing markets
Combination addresses large and growing markets + Revenue mix: Revenue mix: 60% Cloud and Networking 100% Cloud and Networking ▪ ROADM and amplification components and modules ▪ Ultra-pure light external cavity tunable lasers ▪ InP photonic integrated circuit components and modules ▪ Silicon photoni
Slide 7: Compelling strategic merits of the combination
Compelling strategic merits of the combination Comprehensive portfolio for the significant next-gen 400G+ network opportunity Creates better partner for customers with enhanced relevance and global scale Accelerated innovation with combined R&D and technology capabilities globally Well-positioned to
Slide 8: Photonics are at the forefront of many long-term trends
Photonics are at the forefront of many long-term trends DNA sequencing New Pharmaceutical screening Demographics Laser cutting and welding and Power of Materials, Processes, Bio detection and analysis Additive manufacturing Genomics and Precision in Industrial Applications New Energy 4G→5G→next-gen
Slide 9: Significant next-gen 400G+ opportunity
Significant next-gen 400G+ opportunity Transition to higher-speeds and strong port growth enable the staggering 30% CAGR for Internet bandwidth >75% CAGR Next-gen 400G+ ports CY19 CY20 CY21 CY22 CY23 CY24 1. Next generation 400G+ includes integrated coherent components and modules for 400G and highe
Slide 10: Comprehensive portfolio for next-gen 400G+ networks
Comprehensive portfolio for next-gen 400G+ networks Combination results in an end-to-end portfolio - from edge to core and inside and in between cloud datacenters Datacom DWDM Coherent Pluggable Coherent Optical Networking RFICs ROADMs Lasers Access Components Transceivers Amplifiers Subsystems DFB
Slide 11: Broader combined expertise in underlying technologies
Broader combined expertise in underlying technologies Gallium Arsenide Indium Phosphide (GaAs) LCoS Photonic ICs Experts in materials and device physics Indium Phosphide Silicon Germanium Silica on Silicon (SiGe) Design Process Know-How Wafer Production (InP) Silicon Photonic ICs © 2021 Lumentum Ope
Slide 12: Technology shared across a range of applications
Technology shared across a range of applications Combination expands broadly applicable technology platforms Commercial 3D Sensing and LiDAR Telecom and Datacom Lasers Line Cards and Grayboxes Laser Systems Electronics and Software LiDAR Modules OSFP 400G ZR/ZR+ QSFP-DD 400G ZR/ZR+ Coherent Transcei
Slide 13: Transaction overview
Transaction overview ▪ $16.00 in cash per share of NeoPhotonics common stock Transaction terms ▪ Approximately $918 million equity value ▪ $50 million in term loans to NeoPhotonics for growth capex and working capital Sources of financing ▪ Cash from combined company’s balance sheet ▪ More than $50
Slide 14: Combination creates benefits for stakeholders
Combination creates benefits for stakeholders ▪ Best-in-class capabilities with expanded ▪ Strong cultural alignment, with a ▪ High exposure to long-term growth technology and product portfolio focus on engineering, innovation, trends and customer experience ▪ Financial strength with intention to in
Slide 15: Thank you
Thank you ZLUMENTUM
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