IQE of Cardiff, UK has chosen to exercise its exclusive option to acquire and own the cREO(TM) technology and IP portfolio of Silex Systems Limited’s subsidiary, Translucent Inc. IQE will pay a the company USD $5 million for the technology and portfolio. The funds are expected to be paid from either IQE’s existing cash resources or from new ordinary shares of 1 pence each in IQE being issued to the vendor, within 6 months following the exercise of the option.
Back in mid-September of 2015, IQE reported that it had signed an agreement with Silex Systems Limited’s subsidiary, Translucent Inc. to obtain the exclusive license of Translucent’s ‘Rare Earth Oxide’ (cREO(TM)) semiconductor technology (Ref. Coverage). The agreement granted IQE an exclusive 30-month license for the commercialization of the Translucent cREO(TM) technology and also gave Everlight the exclusive option (exercisable solely at IQE’s discretion) to subsequently acquire the technology. Now, Everlight has verified that it has used its option to obtain the cREO(TM) technology and IP portfolio.
According to Translucent, cREO(TM) technology offers a novel approach to fabricating a broad range of compoundsemi on Silicon products, such as gallium nitride-on-silicon (GaN-on-Si) for the growing power switching and RF technology markets. Translucent protects the original cREO(TM) technology with a wide-ranging IP patent portfolio, and IQE has further enhanced this portfolio since September 2015. The company improved the IP portfolio across a range of new application areas such as RF Filters and silicon photonic applications and also devised a number of new material configurations.
Dr Drew Nelson, President and CEO of IQE plc, commented “This type of materials innovation is at the core of IQEs disruptive semiconductor materials solution strategy, as we move from a bespoke, customer specification led business model to a more broad-based materials innovation led model which offers customers new opportunities to develop disruptive end market products.”