What are Neophotonics' Chances for a Good Exit?
Introduction
It will be difficult for a private OC vendor like Neophotonics to go public without having achieved consistent revenue growth and improved operating margins and net income over several calendar quarters. The other exit path for Neo is acquisition and we believe that the exit valuation for Source Photonics may hurt Neo's chances for a decent acquisition price.
Features and benefits
We don't see an IPO for Neo in the near future. It will need to improve its financial results first and investors will need patience.
Your key questions answered
It will be difficult for a private OC vendor like Neophotonics to go public without having achieved consistent revenue growth and improved operating margins and net income over several calendar quarters. The other exit path for Neo is acquisition and we believe that the exit valuation for Source Photonics may hurt Neo's chances for a decent acquisition price.
Features and benefits
- This report compares and contrasts the financial metrics of Neophotonics and Source Photonics and their respective exit strategies.
- A look at the exit possibilities for private OC vendors like Neophotonics and Source Photonics.
We don't see an IPO for Neo in the near future. It will need to improve its financial results first and investors will need patience.
Your key questions answered
- What are the likely exit outcomes for private optical component companies?
- Will Neophotonics have to be patient until its financials improve?
SUMMARY
In a nutshell
Ovum view
STRONG FINANCIALS: THE FIRST STEP FOR A DECENT EXIT
Source Photonics goes private at a low valuation
Neophotonics files to go public; what are its chances of an IPO?
Source's and Neo's financials – typical woes of optical component vendors
Who would acquire Neo and why?
APPENDIX
Methodology
Further reading
Author
Ovum Consulting
Disclaimer
In a nutshell
Ovum view
STRONG FINANCIALS: THE FIRST STEP FOR A DECENT EXIT
Source Photonics goes private at a low valuation
Neophotonics files to go public; what are its chances of an IPO?
Source's and Neo's financials – typical woes of optical component vendors
Who would acquire Neo and why?
APPENDIX
Methodology
Further reading
Author
Ovum Consulting
Disclaimer
