Shanghai Pudong Science and Technology Investment Co., Ltd. (PDSTI), a technology investment firm based in Shanghai, will invest approximately $5 million in GigOptix, a telecommunications component supplier focused on optical networks. The investment will provide "financial flexibility" and allow GigOptix to pursue "additional strategic growth opportunities," according to a press release issued by both firms.
PDSTI will purchase 1,754,385 unregistered shares of GigOptix common stock at $2.85 per share, which is approximately 17 percent greater than the average trading price of the stock over the last 30 days. The investment will give PDSTI a 3.8 percent stake in GigOptix.
GigOptix reported revenue of $40.4 million for the most recent fiscal year that ended on December 31, 2015. Operating income was $1.4 million.
