Essilor purchases share of Shamir Optical for $130M

Israeli opthalmic lens company Shamir Optical is now a joint venture between Kibbutz Shamir and Essilor International. The 50-50 deal will close in mid-2011. Shamir's lens technology uses mathematical algorithms to develop progressive lenses and will fit in well with Essilor's lens-based technologies.

"Thanks to our existing network, respective expertise and the potential for vertical cost synergies, our partnership will allow us to grow the worldwide optical business with innovative, new value-added products and services and to expand our offer to eyecare professionals around the world," Essilor CEO Hubert Sagnieres says in a release. "Shamir Optical will continue to produce and promote its brands, products and services as a separate business entity."

As part of the deal, Shamir will be delisted from the New York Stock Exchange and the Tel Aviv Stock Exchange. Current shareholders will receive a cash settlement at $14.50 for each share.

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