Product details

JDS Uniphase Corporation (JDS) was formed by the merger of equals, Uniphase with the Canadian optical components manufacturer JDS Fitel. JDS was an optoelectronics company that manufactured laser subsystems and equipment for fibre-optic telecommunications, signal processing and laser-based semiconductor wafer inspection and analysis. Optoelectronics is a technology that extends the performance characteristics of conventional electronic equipment through the use of photons. The company's chips were used in communications to increase the carrying capacity of optical fibres and was considered to be an internet play. Six months after its pubic offering of equity, JDS' closing share price represented a five-fold gain. Information for the pricing of equity options and motivation for hedging is provided.