Cohu Sells Broadcast Microwave Services Business For $8 Mln

(RTTNews) - Cohu Inc. (COHU) Wednesday said it sold its Broadcast Microwave Services Inc. business to StoneCalibre LLC for $8.0 million.

The acquisition price comprised of a $5.5 million cash payment, subject to a working capital adjustment, plus up to $2.5 million of contingent cash consideration in the form of an earn-out based on future revenues.

Cohu expects to record a Q2 pretax loss on this transaction of about $3.0 million.

Luis Muller, Cohu's President and Chief Executive Officer, said: "StoneCalibre's acquisition of BMS will provide further opportunities for the business and its employees. Cohu will continue to be focused and committed to growing products and services in the semiconductor manufacturing market."

Moving ahead, Cohu updated its its second-quarter guidance to exclude Broadcast Microwave Services. The company now expects sales of about $73 million.