STOCKS TELEGRAPH

Tag: INFN stock

  • Infinera Corporation’s Premarket Surge Amid Acquisition News

    Infinera Corporation (NASDAQ: INFN) experienced a significant premarket surge on Friday, rocketing nearly 19% after the announcement of its acquisition by Nokia for $2.3 billion. This dramatic rise follows a relatively modest performance on Thursday, where the stock barely rose beyond 2%.

    Details of the Infinera Acquisition

    The deal, valued at $6.65 per share, represents a 28% premium to Infinera’s share price at the close of June 26, 2024, and a 37% premium to the trailing 180-day volume-weighted average price (VWAP). Nokia has committed to paying at least 70% of the consideration in cash, with Infinera shareholders having the option to receive up to 30% in Nokia American Depositary Shares (ADSs). This acquisition is part of Nokia’s strategy to enhance its optical networking capabilities, aiming to achieve EUR 200 million in net comparable operating profit synergies by 2027 and improve its overall market competitiveness.

    Strategic and Financial Implications

    Nokia sees substantial strategic benefits in merging with Infinera, expecting the transaction to strengthen its technology leadership in the optical segment and increase its exposure to webscale customers, the fastest-growing market segment. This move aligns with Nokia’s broader strategy to reshape its Network Infrastructure business and accelerate the development of new products. The acquisition is projected to be accretive to Nokia’s comparable EPS in the first year post-close and deliver over 10% comparable EPS accretion by 2027. Additionally, the deal is expected to bolster Nokia’s presence in the North American optical market, leveraging Infinera’s strong position in the region.

    Conclusion

    This acquisition marks a pivotal moment for both companies, promising enhanced scale, technological innovation, and market reach. Nokia’s leadership anticipates significant value creation for shareholders, with improved financial performance and strategic positioning in the global optical networking market. Infinera’s integration into Nokia is poised to set a new pace of innovation and address evolving customer needs across various segments, making this deal a potentially transformative step in the optical networking industry.

  • Infinera (INFN) Shares Spike After-Market Amid Major Milestone

    Infinera (INFN) Shares Spike After-Market Amid Major Milestone

    Shares of Infinera Corporation (NASDAQ: INFN) exhibited a bullish trend on the US stock market following the achievement of a significant new benchmark. In the after-market session on Thursday, INFN stock experienced a notable surge of 9.60%, reaching $5.82. However, the stock faced a slight regular-session decline of 0.75%, closing at $5.31.

    Breakthrough In Fiber Capacity

    Infinera (INFN) announced the successful completion of simulated network evaluations utilizing Telstra InfraCo’s Australian intercity optical fiber network. The evaluations, conducted on two simulated links—the 1,240-km route between Melbourne and Sydney and the 3,937-km route between Perth and Sydney—achieved unprecedented fiber capacities of 83.6 Tbps and 57.6 Tbps, respectively. These figures represent a new industry benchmark for fiber capacity over long distances and signify a major enhancement in network efficiency, enabling a higher number of services per fiber.

    The simulations employed Infinera’s GX Series Compact Modular Platform, featuring the latest generation of coherent optical technology, ICE7, and an advanced optical line system with Super C- + Super L-enabled capabilities. Coupled with Corning’s SMF-28 ULL fiber characteristics, this technology substantially increases data transmission rates and overall network capacity. Specifically, the Melbourne to Sydney route demonstrated a capacity increase of approximately 53% compared to current fiber and line system performance.

    Strategic Implications For Telstra InfraCo

    Through the addition of new fiber routes across the nation, Telstra InfraCo intends to improve its nationwide fiber network. These paths are designed to increase capacity and speed between cities, regions, and remote communities, benefiting hyperscalers, service providers, and government entities. The simulated network modeling using Infinera’s ICE7 on Corning’s SMF-28 ULL fiber highlights Telstra InfraCo’s position at the forefront of the telecommunications industry, equipped to deliver cutting-edge, market-leading services to customers now and in the future.

    This new simulated benchmark on Telstra InfraCo’s intercity network marks a significant technological milestone for Infinera, emphasizing the efficacy of ICE7 and Super C+L technology in real-world networking environments. The results demonstrate unmatched fiber capacity and long-haul efficiency, reinforcing Infinera’s position as a leader in optical networking solutions.

  • Infinera (NASDAQ: INFN) And Seaborn Announces Launch Of AMX-1 Submarine Network Services

    Infinera (NASDAQ: INFN) And Seaborn Announces Launch Of AMX-1 Submarine Network Services

    Infinera Corporation (NASDAQ: INFN) and Seaborn Networks have disclosed today that they have launched new submarine network services on Seaborn’s AMX-1 submarine network segment. This network service will connect the US and Brazil. In today’s world global economy is depending on strong data connectivity and connectivity which is without interruption.

    Because of this reason, the demand for higher bandwidth and bandwidth-intensive applications such as cloud-based services is continuously increasing.

    The New Submarine network platform is powered by Infinera’s XT series and also featured Infinite Capacity Engine (ICE) technology. The new network boast of Seaborn will modernize architecture and industry-leading spectral efficiency. It also enables the company to optically bypass cable landing stations and reduce network costs.

    Seaborn which runs two leading cables Seabras-1 and AMX-1 used these cables to meet the global bandwidth needs across America. These two leading cables are powered by Infinera solutions. AMX-1 cable system of Seaborn will provide transport, Ethernet private line, and IP services on a geographically diverse path from its Seabras-1 cable. It connects Rio de Janeiro and Jacksonville, Florida, to provide its customers with high-capacity, low-latency connectivity services.

    Infinera Corporation (NASDAQ: INFN) shares were trading down 1.48% at $6.67 at the time of writing on Tuesday. Infinera Corporation (INFN) share price went from a low point around $3.68 to briefly over $9.25 in the past 52 weeks, though shares have since pulled back to $6.67. INFN market cap has remained high, hitting $1.28 billion at the time of writing.

    Vice President of Engineering & Operations at Seaborn, Paul Cannon said that this relationship with Infinera will help the company to address the growing capacity demand needs of customers with reliable, low-latency solutions purpose-built for subsea transport.  Seaborn Chose Infinera because of its history of consistently delivering industry-leading optical engines and the roadmap for its ICE6 800G generation technology.