Northvale-based Inrad Optics, which produces and designs optical materials, on Tuesday said it entered into an agreement to be acquired by Luxium Solutions in an all-cash transaction for $19 million.
Luxium is an affiliate of private equity firms SK Capital Partners and Edgewater Capital Partners.
Following the closing of the transaction, Inrad Optics expects to benefit from the significant resources, operational expertise and capacity for investment provided by Luxium, SK Capital and Edgewater.
Under the new ownership, Inrad Optics will be able to accelerate investments in technologies that are vital to development of next-generation bent X-ray crystal monochromators for spectroscopy and plasma fusion applications, and large-format, ultrahigh-precision optical components and assemblies.
“This transaction delivers immediate and certain value to our stockholders,” Jan Winston, chair of Inrad Optics’ board of directors, said. “Inrad Optics’ strategic corporate mission has never been more important, and this transaction allows us to maximize value for current stockholders while providing capital for refinancing the business and accelerating the company’s growth.”
“In our view, Inrad Optics is a well-positioned and attractive business in ultrahigh-precision optical components, with an incredible team and multiple opportunities for success,” Michael Cahill, CEO, Luxium, said. “Luxium continues to execute on our strategy, and, with the addition of Inrad Optics, we remain dedicated to our conviction to focus in materials science solutions and photonic technologies the market demands. We believe Inrad Optics will provide unique and complementary capabilities to Luxium, and our objective is to support the combined team to push the boundaries of innovation, ensuring successful outcomes for our customers.”
The transaction is expected to close midyear.
