Credo Technology Group Holding Ltd announced on Monday, April 13 2026 that it will acquire privately held DustPhotonics for $750 million in cash, 0.92 million shares of Credo common stock, and up to 3.21 million contingent shares based on future financial milestones, bringing the total potential value of the transaction to approximately $1.3 billion.
The deal expands Credo’s product portfolio into silicon photonics, a high‑speed optical connectivity technology that complements its existing copper‑based Active Electrical Cables. By integrating DustPhotonics’ silicon photonics photonic integrated circuit (SiPho PIC) platform, Credo can offer end‑to‑end connectivity solutions for AI data‑center infrastructure and compete more directly with established optical vendors.
Credo expects the acquisition to be accretive to non‑GAAP earnings per share in fiscal 2027. Management projects that the combined optical portfolio will generate more than $500 million in optical revenue in fiscal 2027, a significant step‑change from its current revenue mix and a clear indicator of the growth potential in the AI infrastructure market.
The transaction is expected to close in the second quarter of 2026, after which Credo will begin integrating DustPhotonics’ technology and customer base into its operations, aiming to realize cost efficiencies and accelerate product development across its connectivity stack.
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