AMIC Technologies and HBA Announce Merger; Merging of the Two Taiwanese IC Design Houses Will Increase Competitiveness and Economies of Scale
HSINCHU, Taiwan—(BUSINESS WIRE)—Nov. 20, 2003—
AMIC Technologies and High Bandwidth Access (HBA) today
announced the merging of their two companies to create a single, more
competitive organization that will leverage each other's strengths to
improve operations and increase growth. AMIC held a special board
meeting on November 12 to disclose the combining of the two companies
that both specialize in providing memory solutions. According to the
agreement, HBA will merge into AMIC Technologies, with further details
to be discussed at AMIC's shareholder's meeting on December 12.
The initial terms of the agreement are as follows:
1. The effective merger date is December 31, 2003.
2. The stock conversion ratio will be two HBA shares for each
share of AMIC. AMIC will issue an estimated 18,000,000 common
shares to complete this undertaking.
3. Partial shares (those not equaling 1 full share) will be paid
out in cash according to book value. AMIC has authorized the
company's CEO to find an independent agent to execute this
transaction.
4. The merged company will operate in accordance with AMIC's
corporate regulations and by-laws. Amendments may be proposed
or discussed at AMIC's regular shareholder's meeting.
As the semiconductor industry continues to show signs of
improvement, this move will increase competitiveness by giving the
companies the ability to target more diversified market segments. In
addition, as AMIC and HBA are both customers and invested companies of
world leading semiconductor foundry UMC, manufacturing capacity can be
more efficiently allocated as the foundry will be dealing with one
organization instead of two. The merger comes at an opportune time
during a recovering economy, as the combined company is poised to
sharply increase its revenue and profits.
The move will also allow the companies to optimize its human
resources, capital, and manufacturing equipment. Since AMIC and HBA
produce complementary memory products, increased economies of scale
and improved operating efficiencies will be realized. The post-merged
company will create a single source that will offer the most complete
range of memory products to address a wide range of market
applications.
About HBA
High Bandwidth Access (HBA) is an ISO 9001 certified, fabless IC
design company delivering a full range of the most advanced FIFO and
specialty memory products to the electronics industry. Based on an
innovative architecture and ASIC approach, HBA products provide the
industry's highest bandwidth, highest density (up to 5Mb), and
competitive prices on 3.3V and 5V memory devices. HBA has partnered
with IC foundry leader UMC for semiconductor manufacturing and ASE
Test Limited for IC packaging and testing, ensuring customers of high
quality, high capacity, just-in-time delivery, and access to the
latest technology. For more information about HBA, visit the company's
website at www.hba.com.
About AMIC
AMIC Technology develops and markets a wide range of memory
components and application specific design solutions. Our memory
portfolio is expanding rapidly and already includes SRAM, DRAM, SDRAM,
FLASH, OTP and Mask ROM products. With flawless performance AMIC
distributes these high quality memory products into a wide spectrum of
applications among our customers in the Americas, Asia and Europe.
AMIC products are memory components and application specific
devices with high memory content. Our memory cores are versatile and
flexible. Our IP cores are widely accessible and have proven
themselves in mass production facilities. By extensive marketing we
turn around ideas into products quickly to meet our customer demand.
With the leading silicon and back-end manufacturers AMIC
Technology provides its customers with very large volume sharing of
memory and system components.
AMIC's selective customer marketing approach and professional
servicing allow us to aim for quality, servicing and dedication to
fulfill our customer's demands. For more information about AMIC
Technology, visit the company's website at www.amictechnology.com.
Contact:
AMIC
David Chang, +886-3-567-9966 x233
david@amic.com.tw
or
HBA
Kan Chang, +886-3-516-9118 x1002
kan.chang@hba.com
