NKT Photonics has divested its LIOS sensing business to the American company Luna Innovations Incorporated for a total consideration of €20m.
LIOS specialises in distributed fibre optic monitoring solutions for power cable, pipelines, oilfield services, security, highways, railways and industrial fire detection systems. The acquisition will further expand Luna into these high-growth markets.
With the divestment NKT Photonics fully focuses on its core business within lasers and fibre optic solutions to the medical & life science, quantum and nano technology, industrial, and aerospace & defence markets.
The divested activities comprise sales, development and production including the main site in Cologne, Germany, and the sales office in Portland, USA, and covers 66 employees. The divestment is effective as of March 10, 2022.
NKT Photonics CEO Basil Garabet said: 'The LIOS Sensing business has a great potential and future, however, the synergies with our fast-growing laser and fibre business are limited in terms of business model, technology, and markets. We are delighted to provide the LIOS team with a new home at Luna dedicated to sensing solutions, and to focus NKT Photonics on our core business.'
The transaction does not change the 2022 financial outlook for NKT Photonics. In 2021, NKT Photonics revenues excluding the LIOS sensing business were EUR 68m.
Scott Graeff, president and CEO of Luna, added: 'Combining LIOS’s market-leading position in temperature and strain sensing with Luna’s broad fibre optic offerings, allows us to capitalise on significant technology advancements and enhanced market opportunities.'
