GT Advanced Technologies Acquires Thermal Technology LLC
NASHUA, N.H., May 16, 2013 (GLOBE NEWSWIRE) — GT Advanced Technologies (Nasdaq:GTAT), today announced that it has acquired substantially all of the business of Thermal Technology LLC for purchase consideration consisting of approximately 3.4 million shares of GTAT common stock and an earn out. Located in Santa Rosa, CA, Thermal Technology develops and sells a wide range of high temperature thermal and vacuum products used in the fabrication of advanced materials that are deployed across multiple industries including smartphones and touch screens, LED,
medical devices, oil and gas and automotive to name a few. Thermal Technology has delivered over 3,000 products to customers in over 40 countries since it was founded 60 years ago.
GT has acquired several key products and technologies that will allow GT to address new markets with a range of production equipment options that can be optimized around customers’ specific needs. This includes annealing technology that the company believes will be important in the manufacturing of sapphire cover screens; crystal growth technology based on the Kyropoulous (KY) growth method and edge defined film growth (EFG) technology for large surface area sapphire. The company has also acquired Spark Plasma Sintering (SPS) technology, which allows dense ceramics to be obtained under uniform heating at relatively low temperatures and in short processing times. The SPS technology is expected to have a wide range of applications including with medical applications, sputtering targets, space applications and thermoelectric convertors for hybrid electric cars.
“The acquisition of the Thermal Technology business adds a number of
innovative and important products and technologies to our rapidly
diversifying portfolio that will, we believe, allow us to accelerate
our entrance into new markets,” said Tom Gutierrez, GT’s president and
CEO. “The acquisition expands our served markets and complements
several of our current product lines. In areas such as sapphire crystal
growth, we can now offer customers a wider range of product options
best suited to their specific production environments. This will enable
us to compete for incremental business in areas where we would have
previously been unable to offer a product.”
“This is an exciting moment for the company, our employees and our
customers,” said Matt Mede, president and CEO of Thermal Technology.
“The acquisition will open new opportunities for growth for our
products and technology as we integrate them into GT’s business
operations. Leveraging GT’s leadership in engineering and product
development and their strengths in low-cost global supply chain
management will accelerate the time-to-market of our technology to
drive market adoption in several promising markets as we go forward.
Customers will also benefit through GT’s global service and support
capabilities.”
GT does not expect the acquisition to materially impact its CY13
revenue or earnings guidance range. The anticipated revenue
contribution from the Thermal Technology business in the balance of
FY13 is approximately $9 to $14 million. GT expects minimal impact on
earnings per share as expenses and the increase in share count will
limit the contribution during the initial year of integration.
Friday, May 17, 2013, at 8:00am ET the company will host a conference
call with Tom Gutierrez, president and chief executive officer, and
Richard Gaynor, chief financial officer, to answer questions about the
acquisition. The call will be webcast live and can be accessed by
logging on to the “Investors” section of GT Advanced Technologies’
website, http://investor.gtat.com/ or by dialing (631) 291-4543. No
password is required. A replay of the call will be available. To access
the replay, please go to http://investor.gtat.com/ and select the
webcast replay link on the ‘Events and Presentations’ page.
About GT Advanced Technologies Inc.
GT Advanced Technologies Inc. is a diversified technology company with
innovative crystal growth equipment and solutions for the global solar,
LED and electronics industries. Our products accelerate the adoption of
new advanced materials that improve performance and lower the cost of
manufacturing. For additional information about GT Advanced
Technologies, please visit www.gtat.com.