Business News | Jul 29, 2010

Epistar Acquires a nearly 48% Stake of Huga Optotech

Taiwan No.1 LED chipmakers Epistar Inc. pay over NT$8.6 billion for a 47.88% stake in Huga Optotech Inc to boost strength of Taiwan’s LED industry. Epistar will acquire the Huga shareholding through stock swap, with an Epistar share for 2.23 Huga shares, and cash pay combined.

B.J. Lee, chairman of Epistar, said the collaboration is designed to beef up competitiveness of both companies in global market by co-sharing each other’s resources and co-working on advanced technologies.

Huga’s chairman, Jincai Chen, pointed out that by working with Epistar his company and Taiwan’s LED industry would get momentum.

In recent years, Epistar has built up its strength by acquiring stakes in major players including United Epitaxy Co., Ltd., Epitech Technology Corp., Tekcore Co., Ltd., Na Ya Photonics Inc., and Huga.

With these partnerships, Epistar is estimated to have as many as 296 MOCVD machines to turn out blue-chip epitaxy wafers, outnumbering the output at Cree of the United States and at Nichia of Japan.

About Epistar Corporation:
Epistar Corporation, headquartered in the Hsin-chu Science-based Industrial Park, Taiwan since September 1996, focuses on developing, manufacturing and marketing high brightness Light Emitting Diode (LED) products. Applying its own proprietary Metal Organic Vapor Phase Epitaxy (MOVPE) technology, Epistar has successfully commercialized the full spectrum range of high brightness LEDs with the characteristics of compact size, low power consumption and long operation life.

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