Alcatel to buy optical firm Innovative Fibers

Alcatel SA's Optronics division announced yesterday an agreement to acquire Canada's Innovative Fibers, a maker of optical filters. The French company, which sells fibre optics communications devices, said in a statement the $US175 million deal will help it keep up with the explosive growth in bandwidth demand.

Innovative Fibers specialises in FBG (Fiber Bragg Grating) technology, which filters and re-directs wavelengths of light. FBG components are key to DWDM (dense wavelength division multiplexing) applications, which allow carriers to send more data more quickly by sending multiple wavelengths over the same fibre optic line.

The Canadian company, founded in 1995, is privately held and has 220 employees.

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