Ahead of the Bell: Finisar, Optium rise after deal

Merriman Curhan Ford analyst Tim Savageaux reiterated his "Buy" rating on Finisar in a client note, saying the merger will be "a major positive" for both Finisar and the broader optical device sector.

The deal creates a more rational industry structure and will boost revenue for the combined company, Savageaux said.

Separately, Jefferies analyst John Lau raised his full-year outlook on Finisar by a penny per share to 7 cents per share following the deal's announcement, saying it will create "synergistic opportunity" and reduce costs for both companies.

However, Lau downgraded Optium to "Hold" from "Buy" in a separate note, saying the stock price now reflects the value of the buyout.

On Friday, the companies said Finisar will buy Optium in a $212 million all-stock buyout. The price represents a 2 percent premium on Optium's Thursday closing price.

Shares of Optium rose 7 cents to $9.10 in premarket trading, while Finisar shares jumped 6 cents, or 3.9 percent, to $1.59.

Optium closed at $9.03 on Friday, while Finisar ended the week at $1.53.