TTM Technologies to buy MKS Ophir Optics for $650M

TTM Technologies, Inc. (NASDAQ: TTMI) has entered into a definitive agreement to acquire the Ophir Optics business from MKS Inc. (NASDAQ: MKSI) for approximately $650 million in cash. The deal, subject to customary closing adjustments, brings an Israel and Romania-based manufacturer of high-precision infrared thermal imaging and laser optics into TTM's portfolio. The transaction is expected to close in the second quarter of 2027, contingent on regulatory approvals and other customary conditions.

The acquisition is structured to be immediately accretive to TTM's Adjusted EBITDA margin and Non-GAAP diluted earnings per share. TTM estimates the purchase multiple at roughly 10.3x Ophir Optics' expected fiscal year 2027 Adjusted EBITDA, a figure that excludes potential synergies. This valuation sits alongside a previously announced $400 million capital and capacity expansion in Asia, both of which are expected to be funded through cash on hand, future cash flow, and borrowings under TTM's existing revolving credit facility.

Ophir Optics serves defense, security, and industrial applications with optical components optimized for land, air, maritime, and unmanned platforms. The business provides an end-to-end solution from initial design to final testing, including camera integration. Notably, the transaction does not include MKS's Ophir Instruments laser characterization business or the sale of the Ophir brand itself.

Edwin Roks, President and Chief Executive Officer of TTM, framed the move as a step toward enhancing the company's long-term growth strategy by adding mission-critical optical solutions. He stated that the acquisition adds a new modality to TTM's product offering, allowing the company to provide systems solutions to defense and industrial customers while benefiting from growing surveillance needs and increased laser applications in industry.

Citi is serving as TTM's exclusive financial advisor for the deal. Legal representation is provided by Polsinelli PC and Arnon, Tadmor-Levy. The transaction remains subject to standard closing conditions, including governmental consents and permits. TTM cautions that the release contains forward-looking statements that are predictions only, noting that actual results may differ materially due to risks including market conditions, demand for products, and the ability to successfully consummate the acquisition.