EANS-Adhoc

ams AG / ams signs agreement to acquire VCSEL technology leader Princeton Optronics

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Mergers - Acquisitions - Takeovers
16.03.2017

Transaction expands ams' value chain in optical sensor solutions for
mobile 3D sensing and imaging, consumer augmented/virtual reality
(AR/VR) and automotive applications

Premstaetten, Austria (16 March 2017) - ams (SIX: AMS), a leading
worldwide supplier of high performance sensor and analog solutions,
has signed an agreement to acquire 100% of the shares in Princeton
Optronics, Inc., a leading provider of Vertical Cavity
Surface-Emitting Lasers (VCSELs), in an all-cash transaction.

Princeton Optronics develops and supplies high performance VCSELs
which offer specific differentiation for mobile, consumer,
automotive, and industrial applications. In the mobile and consumer
markets, Princeton Optronics realizes benchmark power efficiency and
accurate control of beam divergence to create application benefits.
In automotive and industrial, Princeton Optronics' technology enables
high temperature operation and delivers high power pulsed lasers and
laser arrays which support future automotive and industrial
applications. The use of VCSELs is expected to gain momentum in
optical sensor solutions for the Human Machine Interface (HMI).
Broader adoption of 3D sensing in mobile applications could
accelerate market growth for VCSEL light sources in the coming years.

Princeton Optronics operates an outsourced high volume supply chain
with partners in Taiwan, the U.S., and the United Kingdom.
Headquartered in Princeton, NJ (USA) with a total of 37 employees,
Princeton Optronics has an annual revenue run-rate of around USD 10
million and is profitable. The transaction includes an upfront
consideration of USD 53.3 million in cash and a substantial cash
earn-out consideration related to realized 2017 and 2018 revenues,
with a potential maximum earn-out value of USD 75 million. The
transaction is expected to close within six months and is subject to
certain approvals and the occurrence of certain conditions defined in
the agreements with the sellers.

Alexander Everke, CEO of ams, commented on the transaction, "Adding
the illumination source expands ams' optical sensor solutions
offering, with the light path optics covered by Heptagon and the
light sensor including filters by ams. Leveraging this portfolio ams
can now design and manufacture the most complete and differentiated
optical solutions for future growth areas like mobile 3D sensing and
imaging or automotive autonomous driving. Princeton Optronics is a
strategic partner to ams/Heptagon for optical sensing products
already so we see a range of potential future synergies from this
exciting combination."

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about ams

ams is a global leader in the design and manufacture of advanced
sensor solutions. Our mission is to shape the world with sensor
solutions by providing a seamless interface between humans and
technology. ams' high-performance sensor solutions drive applications
requiring small form factor, low power, highest sensitivity and
multi-sensor integration. Products include sensor solutions, sensor
ICs, interfaces and related software for consumer, communications,
industrial, medical, and automotive markets. With headquarters in
Austria, ams employs over 3,300 people globally and serves more than
8,000 customers worldwide. ams is listed on the SIX Swiss stock
exchange (ticker symbol: AMS). More information about ams can be
found at www.ams.com

Join ams' social media channels:
Twitter https://twitter.com/amsAnalog or
LinkedIn https://www.linkedin.com/company/ams-ag

Further inquiry note:
Moritz M. Gmeiner
Vice President Investor Relations
Tel: [phone]
Fax: [phone]
Email: [e-mail]

end of announcement euro adhoc
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issuer: ams AG
Tobelbader Strasse 30
A-8141 Premstaetten
phone: [phone]
FAX: [phone]
mail: [e-mail]
WWW: www.ams.com
sector: Technology
ISIN: AT0000A18XM4
indexes:
stockmarkets: official dealing: SIX Swiss Exchange
language: English