Update: Credo Technology Shares Rise After DustPhotonics Deal
(Updates with the latest stock price movement in the headline and the first paragraph.)Credo Technology (CRDO) shares rose 19% on Tuesday, a day after it entered an agreement to acquire DustPhotonics, a developer of silicon photonics photonic integrated circuit technology for optical transceivers.Credo said it will pay $750 million in cash and about 0.92 million shares of its common stock upfront, with the potential for additional contingent consideration of up to about 3.21 million shares tied to certain financial milestones.The deal is expected to be accretive to non-GAAP earnings per share in its fiscal 2027, the company said, adding that it expects the transaction to close in Q2, subject to customary closing conditions and regulatory approvals.Price: $160.18, Change: $+25.82, Percent Change: +19.22%
