Cascade Microtech Acquires Test Systems Division of SUSS MicroTec AG
Acquisition Strengthens Semiconductor Test Solutions Aimed at Emerging Markets
BEAVERTON, OR--(Marketwire - January 28, 2010) - Cascade Microtech (NASDAQ: CSCD) today
announced that it has acquired the semiconductor test systems business of
SUSS MicroTec AG., a German public company. The test systems business
specializes in wafer-level test solutions for devices under test (DUT), and
strengthens Cascade Microtech's position as a worldwide leader in the
design, development and manufacture of advanced wafer probing solutions for
the electrical measurement and test of semiconductor integrated
circuits and chips.
Under the terms of the agreement, Cascade Microtech has acquired all of the
outstanding capital stock of SUSS MicroTec Test Systems GmbH, a wholly
owned subsidiary of SUSS MicroTec AG, plus other related assets. The
purchase price, which is subject to a post-closing purchase price
adjustment, consists of a fixed amount and an amount placed in escrow. The
fixed component amounts to EUR 4.5 million ($6.3 million) of which EUR 2.0
million ($2.8 million) was paid in cash and EUR 2.5 million ($3.5 million)
was paid in shares of Cascade Microtech common stock. In addition, an
amount of EUR 2.5 million ($3.5 million) has been placed in escrow and will
be released to the seller upon meeting certain post-sale conditions. SUSS
MicroTec Test Systems GmbH revenue for 2008 was EUR 25.0 million ($35.0
million) and EUR 10.6 million ($14.8 million) for the nine months ended
September 30, 2009. Cascade Microtech expects the acquisition to be
accretive by the end of 2010.
The acquisition of SUSS MicroTec Test Systems GmbH should afford Cascade
Microtech the opportunity to leverage its position and focus the necessary
resources towards significant efforts in achieving leading-edge customer
solutions to address accelerated growth markets.
Chip manufacturers today are creating complex devices of unprecedented
performance, features and functionality, straining traditional test
methodologies. The industry continues to drive down geometries used in a
variety of applications following Moore's Law. The leading-edge test
technology of Cascade Microtech, enhanced by this acquisition, should
provide a market opportunity to engage and satisfy the test demands created
by this continual drive to smaller devices.
These expanded core competencies should enable Cascade Microtech to further
support and fulfill customers' complex semiconductor probing and
measurement requirements. Additional customer benefits include an expanded
global service network and a strong commitment to customer satisfaction and
technology leadership.
"This is a key strategic move for Cascade Microtech which strengthens our
product portfolio and leverages our combined resources and competencies,"
said F. Paul Carlson, Chairman and CEO, Cascade Microtech, Inc. "We now
have the critical mass to focus on the technical challenges our customers
have in developing semiconductor processes and designing devices into the
next decade. This acquisition should enable us to aggressively address
emerging applications such as 3D TSV, LED, and MEMS that are on an
accelerated growth curve."
"SUSS Test Systems' experience in 3D, LED and MEMS test applications is a
natural complement to Cascade Microtech's legacy of innovations in
semiconductor probe technology," said Frank P. Averdung, President and CEO
of SUSS MicroTec. "Being a leader in manufacturing equipment for 3D
Integration, we anticipate future collaboration with Cascade Microtech in
order to address the complex issues in developing and testing 3D TSVs."
A conference call will be held on January 28, 2010, at 10:45 a.m. EST (7:45
a.m. PST). Audio cast of the conference call may be accessed online from
the investor relations page of www.cascademicrotech.com. A replay will be
available after 1:45 p.m. EST on January 28, 2010, at the same Internet
address. (For a telephone replay - available after 1:45 p.m. EST) dial
888-286-8010, international: 617-801-6888, passcode: 93572500)
About Cascade Microtech, Inc.
Cascade Microtech, Inc. (NASDAQ: CSCD) is a worldwide leader in the precise
electrical and mechanical measurement and test of integrated circuits (ICs)
and other small structures. For technology businesses and scientific
institutions that need to evaluate small structures, Cascade Microtech
delivers access to electrical data from wafers, integrated circuits (ICs),
IC packages, circuit boards and modules, MEMS, biological structures, 3D
TSV, LED devices and more. Cascade Microtech's leading-edge semiconductor
production test products include unique probe cards and test sockets that
reduce manufacturing costs of high-speed and high-density semiconductor
chips. For more information visit www.cascademicrotech.com.
Forward-Looking Statements Disclosure
This press release contains statements, including the statements by Paul
Carlson, statements as to the Company's expectation that the acquisition
will be accretive by the end of 2010 and other statements regarding the
Company's expectations as to the impact of the acquisition on the Company's
business, that are "forward-looking" statements within the meaning of the
Securities Litigation Reform Act of 1995. Words such as "expects,"
"anticipates," "intends," "plans," "should," "believes," "estimates" and
variations of such words and similar expressions are intended to identify
such forward-looking statements. Such statements are based on current
expectations, estimates and projections about the acquisition based in part
on assumptions made by management. These statements are not guarantees of
future performance and involve risks and uncertainties that are difficult
to predict. Therefore, actual outcomes and results may differ materially
from what is expressed or forecasted in such forward-looking statements due
to numerous factors, including difficulties or unexpected costs or delays
in the integration of the operations, employees, products, sales channels,
strategies, and technologies of the acquired business; the potential
failure of the expected market opportunity to materialize; the potential
inability to realize expected benefits and synergies; potential diversion
of management's attention from our existing business as well as that of the
acquired business; potential adverse effects on relationships with our
existing suppliers, customers or partners; and other risks and
uncertainties as discussed from time to time in the Company's Securities
and Exchange Commission filings and reports, including the Company's Annual
Report on Form 10-K. In addition such statements could be affected by
general industry and market conditions and growth rates and general
domestic and international economic conditions. Such forward-looking
statements speak only as of the date on which they are made and the Company
does not undertake any obligation to update any forward statement to
reflect events or circumstances after the date of this release.