LONDON (ShareCast) - Gooch & Housego, the manufacturer of optical components and systems, will acquire Greek-based Constelex for a cash consideration of 0.4m euros in cash, followed by 0.25m euros in G&H shares once activities are relocated to Torquay.

Constelex is a small, start-up company specialising in low-noise optical fibre amplifiers. Its technology has, for example, allowed the firm to secure contracts from the European Space Agency.

It has also obtained funding from the European Union to develop photonic systems for predominantly space and satellite applications. It is precisely these space applications wherein the value for Gooch lies.

The acquisition of Constelex is aligned with G&H's strategic objective of moving up the value chain by leveraging its leadership in components to develop a higher-added-value capability at the sub-systems and systems level.

Gooch&Housego’s products are used in a wide range of sectors, including aerospace & defence, life and health sciences, industrial and scientific research.

As of 16:20 shares of Gooch&Housego were falling by 1.36% to the 690p mark after a 58.44% year-to-date rise.

AB

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