IQE to Acquire NanoGaN
ST. MELLONS, Wales, Oct. 6, 2009 – Semiconductor wafer maker IQE plc announced that it will acquire UK-based NanoGaN Ltd for approximately $5.7 million in stock and cash.
NanoGaN has established a range of unique processes and intellectual property relating to gallium nitride (GaN) materials and devices. This includes its proprietary Nanocolumn technology for producing high quality, free-standing GaN substrates, which are critical for manufacturing high quality blue and green semiconductor lasers and ultrahigh brightness LEDs for solid-state lighting (SSL).
The development of NanoGaN’s proprietary technology is at an advanced stage. IQE will assist in completing the development of commercial products and will thereafter begin the transfer of the technology to its high volume production facilities where it is expected to begin generating sales in 2010, followed by rapid sales growth as the technology is commercialized. NanoGaN also brings with it seven filed patents, and several additional innovations for which patents will be submitted.
As part of the deal, professor Wang Nang Wang, CEO of NanoGaN and inventor of the nanocolumn technology, will become chief scientific advisor to IQE. Wang is widely acknowledged as a leading advanced materials scientist with significant commercial and advisory experience. He was co-founder of Arima Optoelectronics Corp., a Taiwan-based optoelectronics company.
Wang has a history of successfully patenting innovative technologies. Many of his 26 granted patents continue to be used for mass production within the optoelectronics industry. He has also acted in advisory roles, including scientific advisor to the ITRI (Industrial Technology Research Institute) of Taiwan and to the Taiwanese government.
IQE will acquire NanoGaN for up to $5.73 million in stock and cash, based on the achievement of certain commercialization milestones. IQE has the option to settle the future milestone payments in either shares or cash.
Completion of the acquisition will take place upon admission to trading of those new shares, expected to be on or around Oct. 7, 2009.
For more information, visit: www.iqep.com