Amtech Enters Into 10-Year License Agreement for Solar PECVD System
Partnership Provides New Solar Product Offerings to Leverage Presence in Worldwide Markets
TEMPE, Ariz., April 20 /PRNewswire-FirstCall/ -- Amtech Systems, Inc. (Nasdaq: ASYS), a global supplier of production and automation systems and related supplies for the manufacture of semiconductors, solar cells and wafers, announced today that it has entered into a license agreement with PST Co., LTD., based in Youngin-City, Korea, to market PST's existing plasma enhanced chemical vapor deposition (PECVD) system and to develop and manufacture a new PECVD model for use in high-volume solar cell manufacturing.
Amtech will use its license of PST's PECVD technology, which affects one of the most important steps in the solar cell manufacturing process (applying antireflective coating), to expand its presence in the rapidly growing solar market. The new PECVD system, to be developed and manufactured by PST, is expected to provide higher throughput than PST's current model and is expected to be competitive with models produced by current market leaders.
"We chose PST as our partner because of their demonstrated success in manufacturing and delivering PECVD systems to one of the leading solar cell manufacturers in the world," said J.S. Whang, President and Chief Executive Officer of Amtech. "The addition of PECVD technology to Amtech's product offerings marks another step in our strategic plan to further penetrate the solar market. Capitalizing on PST's already proven technology, we expect to see contributions to our revenue stream in fiscal 2008."
"We are very enthused to combine our quality product offering with Amtech's global sales and marketing expertise," said Jae-An Yu, President of PST. "Amtech is a leading supplier of semiconductor and solar systems and we felt that they were in the best position to successfully penetrate world-wide markets for our product."
The exclusive, royalty free, 10-year license agreement will enable Amtech to leverage its solar customer base and extensive sales and marketing presence throughout the world, with the exception of Korea and one PST customer with respect to which PST retains marketing rights. In consideration for the exclusive rights, Amtech will make an initial payment of $300,000, with another $700,000 to be paid upon PST's successful development of a new PECVD system. The $300,000 is refundable if development efforts are not successful.
About Amtech Systems, Inc.
Amtech Systems, Inc. manufactures capital equipment, including silicon wafer handling automation, thermal semiconductor processing equipment and related consumables used in fabricating semiconductor devices and solar cells. Semiconductors, or semiconductor chips, are fabricated on silicon wafer substrates, sliced from ingots, and are part of the circuitry, or electronic components, of many products including computers, telecommunications devices, automotive products, consumer goods, and industrial automation and control systems. The Company's semiconductor handling, thermal processing and consumable products currently address the polishing of newly sliced silicon wafers and reclaimed test wafers and the oxidation and deposition steps used in the fabrication of semiconductors, MEMS and solar cells.
About PST Co., LTD
PST produces vertical thermal processing systems for high-end Semiconductor applications ranging from annealing/oxidation to LPCVD process. PST systems are utilized in many Korean Fabs with proven reliability and low cost of ownership. It is PST's mission to provide high performance, superior tools with low cost to customers and with a philosophy of trust and reliability.
Statements contained in this press release that are not historical facts may be forward looking statements within the meaning of the Private Litigation Reform Act. Such statements may use words such as "proposed," "anticipate," "believe," "estimate," "expect," "intend," "predict," "project" and similar expressions as they relate to Amtech Systems, Inc. or our management. When we make forward-looking statements, we are basing them on our management's beliefs and assumptions, using information currently available to us. Although we believe that the expectations reflected in the forward looking statements are reasonable, these forward-looking statements are subject to risks, uncertainties and assumptions including the risk of unsuccessful development of the new PECVD system, the risk of the market not accepting this product, and the risks discussed in our filings with the Securities and Exchange Commission. If one or more of these risks materialize, or if our underlying assumptions prove to be incorrect, actual results may vary materially from what we projected. Any forward looking statements contained in this press release reflect our current views with respect to future events and are subject to these and other risks, uncertainties and assumptions relating to our operations, results of operations, growth strategy and liquidity. We have no intention, and disclaim any obligation, to update or revise any forward-looking statements, whether as a result of new information, future results or otherwise.
SOURCE Amtech Systems, Inc.
Released April 20, 2007