Open optical line systems company Smartoptics launches IPO
Smartoptics, which makes open optical line systems (see, for example, “Smartoptics adds DCP-R ROADMs to open line system portfolio” and “Smartoptics unveils 100G DWDM PAM4 option for data center interconnect, metro networks”), has announced the launch of an initial public offering (IPO) of stock on Euronext Growth in Oslo, the capital of its home country of Norway. The IPO comes shortly after a private placement that raised a gross NOK 100 million ($11.9 million) in new equity.
The private placement saw Smartoptics shares sold at NOK 10.38 ($1.24) per share, equivalent to a post-money capitalization of approximately NOK 1 billion ($120 million). The transaction included a secondary share sale of NOK 150 million ($17.89 million). Investors included Danske Invest, Ålandsbanken, and Varner Invest.
“The IPO is a milestone in Smartoptics’ history. We have over the last year experienced tremendous traction in the market, as we have developed technology and services that are perceived as more innovative and flexible than those of our competitors. As a listed company, we now have added fuel to power our ambitions of reaching $100 million in revenue and 15%-20% EBITDA margin by 2025-2026,” said CEO Magnus Grenfeldt.
Smartoptics revealed that it accrued revenue of $34.8 million and an EBITDA margin of 6% in 2020. The company described the start of 2021 as “strong,” with first quarter revenues growing 52% to $10 million and an EBITDA margin of 13.8%.
“We have positioned ourselves perfectly in this market. We have become a preferred vendor for many small and medium-sized operators and enterprises. Our technology, size, and business culture make it possible for us to maneuver faster than the giants of the industry, and most of the other medium-sized players have been acquired. Hence, we face limited competition in our segment,” added Grenfeldt.
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Stephen Hardy | Editorial Director and Associate Publisher, Lightwave
Stephen Hardy is editorial director and associate publisher of Lightwave and Broadband Technology Report, part of the Lighting & Technology Group at Endeavor Business Media. Stephen is responsible for establishing and executing editorial strategy across the both brands’ websites, email newsletters, events, and other information products. He has covered the fiber-optics space for more than 20 years, and communications and technology for more than 35 years. During his tenure, Lightwave has received awards from Folio: and the American Society of Business Press Editors (ASBPE) for editorial excellence. Prior to joining Lightwave in 1997, Stephen worked for Telecommunications magazine and the Journal of Electronic Defense.
Stephen has moderated panels at numerous events, including the Optica Executive Forum, ECOC, and SCTE Cable-Tec Expo. He also is program director for the Lightwave Innovation Reviews and the Diamond Technology Reviews.
He has written numerous articles in all aspects of optical communications and fiber-optic networks, including fiber to the home (FTTH), PON, optical components, DWDM, fiber cables, packet optical transport, optical transceivers, lasers, fiber optic testing, and more.
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