As the market scale of the laser industry grows year by year, the major players continue to expand their market territory through expansion, mergers and acquisitions.LMNwill take stock of the top 10 M&A events in the laser industry in 2018 to see what trends the industry giant's mergers and acquisitions reflect.

Trumpf acquires Amphos

In January of this year, Trumpf acquired Amphos, an ultrashort pulse laser manufacturer, which will bring new parameters to the development of its ultrashort pulse laser. The parties did not disclose the specific amount of the deal.

Founded in 2010, Amphos is a spin-off company of the Aachen University of Technology and the Fraunhofer Institute for Laser Technology. It develops and produces ultrashort pulse lasers based on InnoSlab technology. It is understood that the ultrashort pulse laser developed by Amphos has an output power between 200W and 400W. In addition, the company offers high-power lasers for research with an output of up to 1.5kW.

Ultrashort pulsed lasers are especially important in electronics manufacturing, primarily for the production of printed circuit boards, displays and cover glass.

Comments:Great achievements in the field of machine tool manufacturing TRUMPF Group, on the one hand to improve the competitiveness of high-power laser equipment, on the other hand is also actively exploring the ultra-fast laser application market. The development of laser machine tools will not have major technological changes in the short term, so the next high growth point of the laser industry, or permission to find direction from the strategic layout of TRUMPF.

Coherent acquires German OR Laser

In May of this year, Coherent Laser announced the acquisition of the German OR Laser company and entered the field of additive manufacturing.

Founded in 1997, OR Laser has developed a compact and flexible system for the rapidly growing application of laser additive manufacturing. This complete additive manufacturing tool includes direct metal deposition (DMD) and selective laser melting (SLM) technology, as well as systems for cutting, welding, marking and engraving.

Comments:As a cornerstone of coherence, the laser has become one of the main forces in the field of laser machine tools after the acquisition of the Rolfen laser. The acquisition of OR Laser will expand the market of related companies in the field of additive manufacturing and enhance overall competitiveness.

Bystronic acquires 70% stake in Antil

Bystronic, a supplier of metal laser cutting solutions, announced in June that it had acquired a 70% stake in automatic sheet metal processing specialist Antil to better meet the growing needs of users in the automation sector. Through this acquisition, Bystronic will be able to expand its range of technologies and services in the field of automation.

Since 1989, Antil has been developing automation solutions for the sheet metal processing industry, including loading and unloading systems for laser cutting and punching, automated sheet metal storage systems, robotic assisted bending solutions, and customer service. The company employs approximately 110 people and Antil provides technical and system services to sheet metal processing customers. In 2017, the company's turnover was approximately 18 million euros. Through this transaction, Antil is becoming an important part of the Swiss Bystronic Group. Meanwhile, the brand of Antil will be preserved.

Comments:Laser machine tools will be automated and flexible, and Antil's technical advantages in automation will bring greater competitiveness to Bystronic.

Trumpf acquires Teufel Solutions

German laser giant Trumpf announced the acquisition of the entire share capital of Teufel Solutions, which took effect on August 1, 2018. Through the acquisition of Teufel Solutions, TRUMPF will further strengthen its product portfolio in all aspects of digital interconnection manufacturing.

Founded in 2002, Teufel Solutions is a Swiss-based SAP Systems company and a development partner for TRUMPF TruTops Fab software. The manufacturing control system can be used to monitor the entire sheet metal production process and monitor and manage all machine operations. The system is modular in design and allows users to progressively implement related functions.

Comments:Industry 4.0 is a strategy for German industrial upgrading. The TRUMPF Group has also set a strategic goal for digital production. This acquisition will make up for the shortcomings of TRUMPF in this regard and accelerate the process of digital interconnection manufacturing.

Mitsubishi Electric acquires ASTES4 SA

In August of this year, Mitsubishi Electric announced the acquisition of ASTES4 SA, a developer of automatic sheet sorting solutions for Swiss sheet metal laser processing machines, aimed at automating its own commercial sheet metal processing products and increasing its global business.

Mitsubishi Electric's sheet metal laser processing machine business is currently spread all over the world. Through the acquisition of ASTES4, Mitsubishi Electric will be able to incorporate the company's flexible automated sorting solution for loading, unloading and sorting various materials into sheet metal laser processing equipment.

Mitsubishi Electric said: "Mitsubishi Electric will further strengthen its automation system and the sorting solution of sheet metal laser processing machine, in order to provide the company's customers with integrated solutions that require less manual manual loading, unloading and sorting."

Sheet metal laser processing involves loading materials, laser cutting, unloading cutting materials, and removing and sorting cutting parts from the frame. Due to the lack of human resources in production facilities and the growing ability of fiber lasers to process large quantities of materials, the global demand for automation of these processes is also constantly evolving.

Comments:The acquisition of Mitsubishi Electric is also moving toward reducing labor, strengthening automation and intelligence. In the future, the realization of automatic loading and unloading, automatic sorting and sorting and cutting will greatly improve the efficiency of production and processing, and will also take away a large number of employment opportunities.

Coherent acquires Ondax

In October of this year, Coherent announced the completion of the acquisition of Ondax, a manufacturer of wavelength-stable single-frequency semiconductor laser systems for holographic gratings (VHG) and its related applications. The acquisition further expands the company's portfolio of components, lasers and laser systems.

The Coherent said that the company's existing contacts with ondax will not have any impact as the company integrates its existing ondax company into its global team. At the same time, the company will ensure timely and accurate customer communication throughout the integration process.

Comments:In the past two years, the Coherent has completed the acquisition of downstream laser machine tools and additive manufacturing equipment manufacturers, and is also moving towards the upstream. The acquisition of ondax will bring holographic grating independence to the Coherent and will also expand its semiconductor laser market.

MKS acquires ESI

At the end of October, MKS announced that it would acquire laser micromachining company ESI for approximately $1 billion in cash. MKS expects to acquire ESI's system expertise and technical support in laser material processing through this acquisition to further enhance the performance of its laser, motion and photonic product portfolio.

ESI specializes in laser processing equipment and solutions. The products are widely used in micro-hole drilling and semiconductor wafer processing of FPC and HDI boards, including wafer scribing, grooving, marking and memory repair. With its ultra-high laser processing precision and stability, the company has won the favor of the world's top 10 FPC companies, forming a long-term cooperative relationship.

Comments:MKS products cover a wide range, this acquisition will enhance the professional knowledge of the photonics and optical market, and improve the market competitiveness of the technology solution system.

IPG acquires Genesis

In November of this year, IPG Photonics announced that it has signed a final acquisition agreement with Genesis Systems Group, the global developer of robotic welding and automation solutions. The cash purchase price is $115 million and will eventually be subject to customary closing conditions.

Headquartered in Davenport, Iowa, Genesis has manufacturing facilities in the United States, Mexico, and Japan, and is a qualified robotic system integrator for more than 300 blue chip customers in the transportation, aerospace, and industrial end markets. With more than 35 years of experience in robotic system design and integration, Genesis has integrated more than 6,500 robots and workstations in 43 states and 17 countries around the world. Genesis develops innovative robotic system solutions for welding, non-destructive testing, machine vision, material handling, removal and dispensing applications.

Comments:Entering the field of robot automation, it will provide more technical support for IPG laser processing in the transportation, aviation and industrial terminal markets.

II-VI acquires Finisar

On November 8, US time, two optoelectronic device giants in the United States announced the merger. II-VI, the global leader in engineering materials and optoelectronic components, and Finisar, the global technology leader in optical communications, announced that they have reached a final merger agreement. II-VI will acquire Finisar in cash and stock trading with an equity value of approximately $3.2 billion.

After the merger, II-VI and Finisar will complement each other in the fields of optical communication, 3D sensing platform and laser radar to improve the competitiveness of technological innovation and product manufacturing. Upon completion of the transaction, II-VI and Finisar will employ more than 24,000 people in 70 locations around the world, covering communications, consumer electronics, defense, industrial lasers, automotive semiconductor equipment and life sciences.

Comments:In addition to the complementary aspects of the technical level, the market development capability and industrial integration capability after the merger will also be greatly improved. From the giants to the larger giants, the competitiveness of the company itself is undoubtedly greatly improved, but it also brings greater pressure and challenges to other companies in the industry.

Han's Laser acquires MUTI-WELL

On November 12, Han's Laser announced that the company intends to acquire 100% of MUTI-WELL INVESTMENTS LIMITED (MUTI-WELL) through its wholly-owned holding company GD Technology Development Co., Ltd. with its own funds of RMB 425 million.

According to the announcement, Ya Zhou Chuang Jian (China) Co., Ltd., a wholly-owned subsidiary of MUTI-WELL, is the land owner of Zongdi No. A204-0029. The parcel is located in Fuqiao Industrial Zone, Qiaotou Village, Fuyong Street, Bao'an District, Shenzhen. The parcel area is 36,300 square meters. The land use is industrial land, and the floor space of the building is 25,500 square meters.

Han's Laser said that Asia created the parcel to enjoy 100% of the land's real interest. The parcel and the above-ground buildings are the main assets indirectly held by the Target Company. The company has actually leased 17,100 square meters of the above-ground buildings. Upon completion of the transaction, the company will receive the parcel and the above-ground buildings indirectly held by the target company.

Comments:After the acquisition, Han's Laser will indirectly hold 36,300 square meters of industrial land, providing sufficient plant and land for the company's development. In the context of intensified domestic competition and turbulent industry, the Han’s laser business has also suffered a certain impact, but the pace of its expansion has not stopped. Through the expansion of the land at this time, you can see the ambitions after the cold winter.

Summary:In this year's major mergers and acquisitions, you can see two major trends. The first is the industrial chain integration trend of Coherent, MKS, IPG and II-VI, followed by the automation and digitization of machine tools in the layout of TRUMPF, Bystronic and Mitsubishi Electric. The industry giants will use their own advantages to make their own market business further expand and enhance their own competitiveness through mergers and acquisitions of upstream and downstream related enterprises. For the future laser machine tools, it will no longer be used solely for processing, integration of loading, processing, sorting and blanking, combined with real-time monitoring and intelligent management. At the same time as production efficiency increases, labor costs will also be greatly reduced.