ESI to Pay $36M for New Wave
PORTLAND, Ore., July 5, 2007 -- Electro Scientific Industries (ESI) Inc., a Portland-based maker of production equipment used by microelectronics manufacturers, announced today it has agreed to acquire New Wave Research Inc. of Fremont, Calif., for $36 million in cash. New Wave makes laser-based systems and components for microelectronics and analytical instrumentation.
Nick Konidaris, president and CEO of ESI, said the acquisition will enable ESI to enter the sapphire wafer-scribing market with New Wave's Accuscribe scribing laser systems, as well as LCD repair with its Quicklaze flat-panel display repair products. "Together, our strong research and development talent pool will provide us with centers of excellence in Portland, Montana and Silicon Valley to help accelerate the development of new tools for both companies."
Founded in 1990, New Wave is a private company with 150 employees worldwide and operations in the US, Europe and Asia. In the semiconductor market, its products are used for sapphire wafer scribing, flat-panel display repair and semiconductor failure analysis, among other applications. It also produces laser ablation and other tools employed for various industrial and scientific applications and produces highly accurate laser-micromachining tools used for drilling, etching and scribing a wide variety of materials.
The acquisition, subject to customary approvals, is expected to close within 30 days. New Wave's CEO, Pei Hsien Fang, will join ESI as vice president in charge of New Wave's research division.
ESI said the acquisition is expected to be break-even in fiscal 2008. On a GAAP-basis, the acquisition is expected to be accretive in fiscal 2009, which begins in April 2008. More details will be provided during ESI's regular earnings call on July 12, the company said.
For more information, visit: www.esi.com