Corning to Acquire Precision Optics Maker Tropel for $190 Million

Corning(GLW Quote - Cramer on GLW - Stock Picks) will acquire precision optics and metrology products maker Tropel for $190 million in cash and stock.

Corning will pay about $60 million in cash and 1.95 million common shares for the company. The acquisition should be completed by the end of the first quarter, pending regulatory approval. Corning expects the acquisition to start adding to earnings in 2002.

Tropel, which is based in Fairport, N.Y., will be a unit of Corning's special materials division. John Bruning will continue as president and chief executive of the operation, which will be known as Corning Tropel.

Corning is scheduled to report earnings for the fourth quarter later this week. According to First Call/Thomson Financial, analysts expect the Corning, N.Y., fiber-optics concern to earn 28 cents a share, 10 cents higher than the same period in 1999.

Shares of Corning were recently down 63 cents, or 0.9%, to $67 on the New York Stock Exchange.