Arvind Chhatbar.

Enablence Technologies has completed its US$14-million acquisition of Georgia's Wave7 Optics.

The Ottawa-based maker of planar lightwave circuit (PLC)-based components for the fibre-to-the-home (FTTH) market said its wholly owned subsidiary W7 Acquisition Corp. has merged into Wave7.

Enablence paid US$10.5 million and 2,078,385 common shares of Enablence, which were worth $1.69 each on April 14, when the deal was first announced.

Wave7, of Alpharetta, Ga., is a provider of FTTH systems that deliver voice, video and data services. Its Trident7 universal access platform supports Gigabit Ethernet Passive Optical Network (GE-PON) systems and Gigabit Passive Optical Network (GPON) systems, as well as point-to-point Ethernet.

This is Enablence's third purchase in less than two years as part of its bid to control the various components of the FTTH vertical market, following its $35-million acquisition of optical wafer maker in February and its March 2007 buy of Swiss photodiode manufacturer Albis Optoelectronics for $6.2 million.

"Wave7 deploys FTTH systems around the globe and we are extremely pleased to have them join Enablence. Every home connected with FTTH service requires an optical network terminal with an optical transceiver inside. Enablence is now in a position to be a supplier of both ONTs and transceivers," said Enablence CEO Arvind Chhatbar in a statement.

"The acquisition of Wave7 provides us with an immediate channel to deploy our transceivers globally and dramatically broadens the addressable market for Enablence products that include all FTTH network elements. We are of the view that this acquisition will further leverage the strengths of our PLC technology, enhance Enablence's standing in the FTTH market and allow us to continue to expand our supply of transceivers and other PLC products to customers."

The company also announced that Wave7's CEO and founder Tom Tighe would become president of Enablence's new networks division, which is comprised of Wave7's operations.

"Wave7 has tremendous electronics capability and Enablence has strong optics capabilities," stated Mr. Tighe. "The combined entity will be uniquely positioned to build added value integrated subsystems that are inaccessible to pure component players due to the lack of system expertise and unattainable to pure system players due to the lack of integrated PLC components."