PIXT and good news:
Also according to Yahoo 648k short
PixTech to Acquire Display Division of Micron
Technology, Inc.
Micron Technology to Become 32% Shareholder of PixTech
SANTA CLARA, Calif., and BOISE, Idaho, March 19 /PRNewswire/ -- PixTech,
Inc. (Nasdaq: PIXT - news) and Micron Technology, Inc. (NYSE: MU - news) today
announced the signing of a definitive agreement for PixTech to acquire substantially all of
Micron's Display Division located in Boise, Idaho.
Under the terms of the agreement, in exchange for the transfer of certain assets
(including manufacturing equipment and $4.35 million in cash) and liabilities to PixTech,
Micron will receive approximately 7.134 million shares of PixTech's common stock and
warrants to purchase an additional 310,000 shares of PixTech's common stock at an
exercise price of approximately $2.25. As a result of this transaction, Micron will hold
approximately 32% of PixTech's outstanding shares of Common Stock. The transaction
is expected to reduce Micron's second quarter earnings per share by approximately
$0.03.
The agreement is contingent upon approval of the Federal Trade Commission and
approval of PixTech's stockholders to increase the number of shares of Common Stock
authorized for issuance by the Pixtech Board of Directors and to issue shares of
PixTech's stock to Micron in this transaction, as well as customary closing conditions.
The transaction is expected to close shortly after PixTech's annual shareholders'
meeting, which is scheduled for April 27, 1999.
''Field Emission Displays (FEDs) continue to have the potential to be superior to other
flat panel displays in the industry,'' said Dieter Mezger, CEO and President of PixTech.
''However, to succeed, we have to aggressively pursue additional talent and resources.
Combining the resources of Micron's Display Division with PixTech's leadership
technology is a real win-win situation. This combination also creates a U.S. based
research and development organization devoted solely to FED. Our 15'' team in Santa
Clara is expected to move to the new Boise, Idaho location. Our Santa Clara location
will remain for executive management as well as sales and marketing. We look forward
to working with the Micron Display team.''
''This is a good way to leverage both companies' strengths,'' said Steve Appleton,
Chairman, CEO, and President of Micron Technology, Inc. ''We believe that the
combination of PixTech and our display division provides the best potential for Micron's
return on its R&D investment. We look forward to working with the PixTech team as
they continue advancing FED technology and products in the Idaho facility currently
used by Micron Display.''
Francis Courreges, PixTech Executive Vice President, said, ''Being first to market in
FED hasn't happened without making some tough technology option choices. Low
voltage (less than 1,500 volts) is the shortest path to cost competitive medium size (3''
to 8'') products on the market. For desktop and large size displays, it is a different
equation that leads to FEDs with anode voltages in the range from 3 to 6 kV. Micron's
Display Division has developed unique technologies in the areas of spacers, anode face
plate and glass sealing techniques that should allow us to make big strides toward the
introduction of desktop FEDs.''
''In addition, the transaction will significantly strengthen PixTech's patent position. Upon
the closing, we will have a license to Micron's FED patents. PixTech will then be in a
unique position to use some or all FED technology developed by not less than 10 FED
organizations,'' said Courreges.
Dave Cathey, who is currently Vice President and General Manager of Micron's
Display Division and will be appointed as an observer to the PixTech Board of
Directors, said, ''The synergies created by integrating the talents, technologies, and
resources of Pixtech and Micron's Display Division are impressive. Pixtech and Micron
were the first two companies in the world to demonstrate color video FED displays.
Combining our talents will enhance the commercialization of FED products. I am excited
about the future of our great Boise team within Pixtech.''
About PixTech, Inc.
PixTech designs, develops and manufactures field emission displays (FEDs), a new type
of flat-panel display. The Company operates a flat-panel display pilot manufacturing
facility in Montpellier, France, and an R&D facility and sales office in Santa Clara,
California. PixTech is currently developing high-volume manufacturing capabilities for its
FEDs in Taiwan under a contract manufacturing arrangement with Unipac, a Taiwanese
AM-LCD manufacturer. PixTech has also established a marketing partnership with
Sumitomo Corporation, its exclusive distributor in Japan. More information is available
from the Company's web site at www.pixtech.com.
About Micron Technology, Inc.
Micron Technology, Inc., and its subsidiaries manufacture and market DRAMs, very
fast SRAMs, Flash, other semiconductor components, memory modules, graphics
accelerators, personal computer systems, and radio frequency identification (RFID)
products. Micron's common stock is traded on the New York Stock Exchange
(NYSE) under the symbol MU. To learn more about Micron Technology, Inc., visit its
Web site at www.micron.com.
Statements that are not historical facts, including statements about PixTech's confidence
and strategies, the timing of its manufacturing plans with Unipac, and its distribution
agreement with Sumitomo, the development of new or existing products, technologies
and opportunities, marked demand or acceptance of new or existing products are
forward-looking statements that involve risks and uncertainties. These uncertainties
include but are not limited to, the risk associated with transitioning to high volume
manufacturing of FED displays at Unipac, product demand and market acceptance
risks, commitment of Unipac and/ or of PixTech licensees, ability of the Company to
grant other licenses under FED technology, validity and enforceability of PixTech's
patent rights, infringement by PixTech of other patent rights, impact of competitive
product and prices, product development, commercialization or technological delays or
difficulties, trade, legal, social and economic risks detailed in PixTech's Securities and
Exchange Commission filing including its form 10-K for the year 1997 and any
subsequent filings.
SOURCE: PixTech, Inc. |
