Amtech Systems Inc. Announces $5 Million Funding for Growth Plan.Business Editors TEMPE, Ariz.--(BUSINESS WIRE)--Sept. 14, 2000 Amtech Systems Inc. (Nasdaq: ASYS) Thursday announced the completion of a $5 million private placement of common stock and common stock purchase warrants. The proceeds will be used to fund the company's growth initiatives. The funds were raised through the private placement of 383,000 shares of the company's common stock at a price of $13.75 per share and five-year warrants to purchase 38,300 shares with an exercise price of $15.12 per share. Gross proceeds in the transaction were $5,266,000. Net proceeds Net Proceeds The amount received after all costs are deducted from the sale of a piece of property or security. Notes: In the case of an investor selling a security, net proceeds represent the proceeds from the sale minus any trading costs (i.e. commissions). to the company, after deducting fees of the placement agents, but before deduction of legal and accounting fees were $4,690,000. The company has agreed to register the resale of the shares issued in the transaction, including those issuable upon exercise of the warrants. The company stated that its growth plan includes continuing to expand its optical component customer base and other strategies to increase sales of existing products, sales growth from new products within its existing products lines, begin sales of its new technology asher, which was previously announced and continues to be in the research and development stage, and acquisitions of synergistic synergistic /syn·er·gis·tic/ (sin?er-jis´tik) 1. acting together. 2. enhancing the effect of another force or agent. syn·er·gis·tic adj. 1. product(s) or business(es). J.S. Whang, the company's president and chief executive officer, stated, "The first two components of our growth strategy are essentially organic growth, which generally can be financed with existing resources. We intend to use the funds raised today to bring the new technology asher to market and for acquisitions. "We plan to begin shipments of the new technology asher in fiscal 2002, barring any complications in development. In addition, we are also negotiating a bank line of credit to further increase funds available for implementing our growth plan." Amtech Systems Inc. manufactures capital equipment, including silicon wafer handling automation, semiconductor processing equipment and related consumables used in fabricating semiconductor devices. Semiconductors, or semiconductor chips, are fabricated fab·ri·cate tr.v. fab·ri·cat·ed, fab·ri·cat·ing, fab·ri·cates 1. To make; create. 2. To construct by combining or assembling diverse, typically standardized parts: on silicon wafer substrates, sliced from ingots, and are part of the circuitry, or electronic components, of many products, including computers, telecommunications devices, automotive products, consumer goods consumer goods Any tangible commodity purchased by households to satisfy their wants and needs. Consumer goods may be durable or nondurable. Durable goods (e.g., autos, furniture, and appliances) have a significant life span, often defined as three years or more, and and industrial automation and control systems. The company's semiconductor handling and processing products currently address the polishing of newly sliced silicon wafers and reclaimed test wafers and the oxidation oxidation /ox·i·da·tion/ (ok?si-da´shun) the act of oxidizing or state of being oxidized.ox·idative ox·i·da·tion n. 1. The combination of a substance with oxygen. 2. and deposition steps used in the fabrication fabrication (fab´rikā´sh  n),n the construction or making of a restoration. of semiconductors. The company has recently found application for its products in the optical component market. The Private Securities Litigation Reform Act The Private Securities Litigation Reform Act of 1995 (PSLRA) implemented several significant substantive changes affecting certain cases brought under the federal securities laws, including changes related to pleading, discovery, liability, class representation and awards fees and of 1995 provides a "safe harbor Safe Harbor 1. A legal provision to reduce or eliminate liability as long as good faith is demonstrated. 2. A form of shark repellent implemented by a target company acquiring a business that is so poorly regulated that the target itself is less attractive. " for forward-looking statements forward-looking statement A projected financial statement based on management expectations. A forward-looking statement involves risks with regard to the accuracy of assumptions underlying the projections. . Certain information included in this press release (as well as information included in oral statements or other written statements made or to be made by Amtech Systems Inc.) contains statements that are forward-looking. Such forward-looking information involves a number of known and unknown risks and uncertainties that could cause actual results to differ materially from those discussed or anticipated by management. Potential risks and uncertainties include, among other factors, industry specific and general business conditions, competitive market conditions, success of Amtech's growth and sales strategies, the possibility of customer changes in delivery schedules, cancellation of orders, potential delays in product shipments, delays in obtaining inventory parts from suppliers and failure to satisfy customer acceptance requirements. The company does not undertake any obligation to update any of these forward-looking statements for changing circumstances. For more information, review the company's filings with the Securities and Exchange Commission, including, but not limited to, Amtech Systems Inc.'s annual report on Form 10-K Form 10-K A report required by the SEC from exchange-listed companies that provides for annual disclosure of certain financial information. Form 10-K See 10-K. and quarterly reports on Form 10-Q Form 10-Q See 10-Q. . |
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