SANTA CLARA, Calif. — PRNewswire-FirstCall via COMTEX — October 22, 2002
Intevac, Inc. (Nasdaq: IVAC), today announced it had signed an asset purchase agreement to sell its rapid thermal processing capital equipment ("RTP") business to Photon Dynamics, Inc. of San Jose, CA. (Nasdaq: PHTN).
The agreement provides for the sale of Intevac's RTP business to Photon Dynamics for $20 million cash and the assumption of certain liabilities. $2 million of the cash payment will be held in escrow for one year. Release of the escrow at the end of this period is subject to a number of conditions. The transaction is structured as an asset purchase and contemplates the relocation of the RTP business to Photon Dynamics' facility in San Jose, CA. Closing is expected in early November and is contingent on certain customary closing conditions.
Mr. Kevin Fairbairn, Intevac's Chief Executive Officer, said, "The sale of the RTP business to Photon Dynamics will significantly improve our balance sheet and allow us to focus more effectively on the development of our Intensified Imaging business which has significant growth potential."
About Photon Dynamics
Photon Dynamics, Inc. is a leading global supplier of integrated yield management solutions for the display, electronics and glass markets. Photon Dynamics' patented image acquisition and image processing technology, electro-optical design, and systems engineering expertise are currently used for: test, repair and inspection of flat panel displays; inspection of cathode ray tube displays and automotive glass; and inspection of printed wiring assemblies and advanced semiconductor packaging. Photon Dynamics develops systems that enable manufacturers to collect and analyze data from the production line, and quickly diagnose and repair process-related defects, thereby allowing manufacturers to decrease material costs and improve throughput to gain an incremental yield edge critical to success. Founded in 1986, Photon Dynamics has sales offices and customer support services in San Jose and Aliso Viejo, California; Beijing, China; Eindhoven, The Netherlands; Hsinchu and Taipei, Taiwan; Markham, Ontario, Canada; Redhill, Surrey, UK; Daejeaon, Kumi, and Seoul, Korea; and Tokyo, Japan. For more information about Photon Dynamics, visit its web site at www.photodynamics.com.
About Intevac
Intevac is developing revolutionary intensified imaging products that address potentially large commercial and military markets. The Company also produces sophisticated manufacturing equipment used in the manufacture of high technology products and is leveraging its equipment expertise to enable cost-effective production of new intensified imaging products. Intevac's intensified imaging products are high-speed electro-optical devices that detect light with extraordinary sensitivity. The Company's proprietary technology makes possible products such as LIVAR(R), a long-range target identification system, and video cameras with night vision capability. Intevac's equipment products are designed to deposit or modify highly engineered thin-films of material on a variety of substrates. These systems are designed for continuous high volume manufacturing of precision thin-film products such as flat panel displays, magnetic media for hard drives and extreme-low-light-level cameras. For more information call 408-986-9888 or visit the Company's website at www.intevac.com.
Safe Harbor Statement
The statements in this press released regarding the sale of Intevac's RTP business to Photon Dynamics, are forward looking statements. These forward-looking statements include, without limitation, statements related to purchase price, closing schedule, closing conditions, impact of the transaction on Intevac's balance sheet and the potential of the Intensified Imaging business. These forward-looking statements involve a number of uncertainties and risks, which include, without limitation, the potential failure of the transaction to close on the anticipated schedule, or to close at all; the failure of either Intevac or Photon Dynamics to satisfy all of the closing conditions; any failures in Intevac's representations and warranties or anticipated performance of the RTP business that could lead to forfeiture of a portion, or all, of the $2 million escrow account to Photon Dynamics; or the failure of the Intensified Imaging business to achieve significant growth. As a result of the above, the actual results may differ substantially from expectations. For further information on the risks affecting Intevac please see Intevac's report on form 10-Q for the period ended June 29, 2002, filed with the Securities and Exchange Commission.
NOTE: LIVAR(R) is a registered trademark of Intevac.
SOURCE Intevac, Inc.
CONTACT:
Charley Eddy, CFO of Intevac, Inc.
+1-408-496-2259
ceddy@intevac.com
