STMicroelectronics to Acquire Majority Stakein Gallium Nitride innovator Exagan

PR NdegC2946C 
 
   STMicroelectronics to Acquire Majority Stake in Gallium Nitride 
innovator Exagan 
 
   Acquisition will accelerate ST's GaN expertise, roadmap and business for 
high-frequency, 
 
   high-power automotive, industrial and consumer applications 
 
   Geneva, March 5, 2020 -- STMicroelectronics (NYSE: STM), a global 
semiconductor leader serving customers across the spectrum of 
electronics applications, today announced it has signed an agreement to 
acquire a majority stake in French Gallium Nitride (GaN) innovator 
Exagan. Exagan's expertise in epitaxy, product development and 
application know-how will broaden and accelerate ST's power GaN roadmap 
and business for automotive, industrial and consumer applications. 
Exagan will continue to execute its product roadmap and will be 
supported by ST in the deployment of its products. 
 
   Terms of the transaction were not disclosed and closing of the 
acquisition remains subject to customary regulatory approvals from 
French authorities. The signed agreement also provides for the 
acquisition by ST of the remaining minority stake in Exagan 24 months 
after the closing of the acquisition of the majority stake. The 
transaction is funded with available cash. 
 
   "ST has built strong momentum in silicon carbide and is now expanding in 
another very promising compound material, gallium nitride, to drive 
adoption of the power products based on GaN by customers across the 
automotive, industrial and consumer markets" said Jean-Marc Chery, 
President and CEO of STMicroelectronics. "The acquisition of a majority 
stake in Exagan is another step forward in strengthening our global 
technology leadership in power semiconductors and our long-term GaN 
roadmap, ecosystem and business. It comes in addition to ongoing 
developments with CEA-Leti in Tours, France, and the recently-announced 
collaboration with TSMC." 
 
   https://www.globenewswire.com/Tracker?data=IOxYfbUCSukRZQLox9-XibPETN49v2KPEGJS3T-ZfiUX2moHzevkx-JKJVWweY8sRVseN5zsXAkZohREblTgF-rs0PDGEY_02GRhPsliDJlFDLFRw1zC-5LyIe8z05gdDTt-r7pcNh-MVp9VwORa6S0lVqckOcaH0t3knU5gMyg= 
Gallium Nitride (GaN) belongs to the family of wide bandgap (WBG) 
materials which include 
https://www.globenewswire.com/Tracker?data=tQIzd2TnUZRw1EMm8OCKnbDZZn5SXlj04CzFgVv4moVBPpwjEFFzE4CdVL0TOmJP8CchvLLWiW2ouA1LhhQvhr5cYEmLMh24Map_SxJIqZjYlUG3ktLNFIkbihWEfcXZSATs-9USacY6dayCj1rKcNK0PU9oxPxp7k5f00Yc_XI= 
Silicon Carbide. GaN-based devices represent a major step forward in 
power electronics providing high-frequency operation, with increased 
efficiency and higher power density compared to silicon-based 
transistors, leading to power savings and total system downsizing. GaN 
products will address a wide variety of applications such as power 
factor correction and DC/DC converters in servers, telecom and 
industrial applications, on-board chargers for EV and DC-DC converters 
for automotive applications, as well personal electronics applications 
like power adaptors. 
 
   Founded in 2014 and headquartered in Grenoble (France), Exagan is 
dedicated to accelerating the power-electronics industry's transition 
from silicon-based technology to GaN-on-silicon technology, enabling 
smaller and more efficient electrical converters. Its GaN power switches 
are designed for manufacturing in standard 200-mm wafer fabs. 
 
   Cautionary Information Regarding Forward-Looking Statements 
 
   Safe Harbor Statement Under the Private Securities Litigation Reform Act 
of 1995: Any statements set forth above that are not historical facts 
are forward-looking statements, including any statements regarding our 
future results of operations and financial positions, business strategy, 
plans and objectives for future operations, involve risks and 
uncertainties that could cause actual results to differ materially from 
those in the forward-looking statements. These statements are only 
predictions, reflect our current beliefs and expectations with respect 
to future events, and are based on assumptions, subject to risk and 
uncertainties, and subject to change at any time. Potential risks and 
uncertainties include, but are not limited to, such factors as: the 
possibility that the transaction may not be consummated, including as a 
result of any of the conditions precedent; the risk that the expected 
benefits of the acquisition may not be realized; difficulties in 
retaining Exagan employees following the acquisition; difficulties in 
expanding facilities and transferring processes and know-how; diversion 
of our management's attention from the management of our business; and 
the impact of competition and other risk factors relating to our 
industry and business as detailed from time to time in our filings with 
the United States Securities and Exchange Commission. 
 
   About STMicroelectronics 
 
   ST is a global semiconductor leader delivering intelligent and 
energy-efficient products and solutions that power the electronics at 
the heart of everyday life. ST's products are found everywhere today, 
and together with our customers, we are enabling smarter driving and 
smarter factories, cities and homes, along with the next generation of 
mobile and Internet of Things devices. 
 
   By getting more from technology to get more from life, ST stands for 
life.augmented. 
 
   In 2019, the Company's net revenues were $9.56 billion, serving more 
than 100,000 customers worldwide. Further information can be found at 
www.st.com. 
 
   For further information, please contact: 
 
   INVESTOR RELATIONS: 
 
   Céline Berthier 
 
   Group VP, Investor Relations 
 
   Tel: [phone] 
 
   [e-mail] 
 
   MEDIA RELATIONS: 
 
   Alexis Breton 
 
   Corporate External Communications 
 
   Tel: + 33 6 59 16 79 08 
 
   [e-mail] 
 
   Attachment 
 
 
   -- C2946C - ST to acquire majority stake in Exagan - Final for publication 
      https://ml-eu.globenewswire.com/Resource/Download/a0f987bf-b5f5-4884-b19c-c5ef16f245ba 
 
 
 
 
 
 
 

(END) Dow Jones Newswires

March 05, 2020 03:59 ET (08:59 GMT)