EX-99.1
4
ex99_1.htm
EXHIBIT 99.1
Exhibit 99.1
APA
Enterprises, Inc. sells its MOCVD Operations and Licenses its Gallium Nitride
(GaN) based HFET Patents and Technology
The
Company will focus solely on GaN products in ultra violet (UV) detectors and
transistors.
Minneapolis,
MN, March 15, 2006. APA
Enterprises
(Nasdaq:
APAT) announced today that it has sold its multi-wafer Metal Organic Chemical
Vapor Deposition (MOCVD) operations and related intellectual property and
entered into a revenue sharing licensing agreement for total consideration
of
$1.9 million in cash. The transaction includes sale of its multi-wafer MOCVD
system and technical know-how associated with the growth of state-of-the-art
epi-layers: two heterojunction field effect transistor patents, a pending patent
application, and associated intellectual property. The operations were located
in an off-site leased facility. Terms of the transaction allow APA to market
and
sell products for applications greater than 1 GHz and provide revenue sharing
based on future licensing agreements regarding these patents. The asset purchase
agreement includes an additional consulting agreement for up to $100,000 over
the course of one year. The transaction impacts three employees associated
with
the development and growth of the epi-layers.
APA's
Optronics Division will now focus mainly on GaN products in both UV detector
and
power amplifier areas. The Company is already pursuing the GaN-based UV detector
market for both commercial and industrial applications. The Company is also
developing power amplifiers that target the cellular communications market.
Going forward, the Company will procure transistors from outside sources to
support power amplifier plans.
The
Company began focusing its UV detector manufacturing operations in June 2004
when it discontinued its detector manufacturing consisting of detector packaging
operations in Aberdeen, South Dakota and growth and processing operations of
its
standard gallium nitride (GaN) and aluminum gallium nitride (AlGaN) detectors
in
Blaine, Minnesota. "The recent transaction provides valuable cash and should
decrease operating costs in the future", said Dr. Anil Jain, President of APA
Enterprises, Inc. "Focusing on the transistor products based on procured
transistors will have the potential of early entry into the market at lower
costs", added Jain.
About
APA Enterprises, Inc.
APA
Enterprises, Inc. consists of an Optronics group and a Cables & Networks
group. The Company develops, designs, manufactures and markets a variety of
fiber optics, copper and gallium nitride (GaN) based components and devices
for
industrial, commercial, consumer and scientific applications. Cables &
Networks designs, manufactures and markets a variety of fiber optic and copper
components to the data communication and telecommunication industries. Optronics
is active in the development, design, manufacture and marketing of ultraviolet
(UV) detection and measurement devices for consumers and industrial customers,
and gallium nitride (GaN) based power amplifiers targeting cellular
communication markets. Additional information about APA Enterprises is available
at http://www.apaenterprises.com.
Forward-looking
statements contained herein are made pursuant to the safe harbor provisions
of
the Private Litigation Reform Act of 1995. These statements are based upon
the
Company's current expectations and judgments about future developments in the
Company's business. Certain important factors could have a material impact on
the Company's performance, including, without limitation, delays in or increased
costs of production, delays in or lower than anticipated sales of the Company's
new products, the Company's ability to sell such products at a profitable price,
the Company's ability to fund operations, and other factors discussed from time
to time in the Company's filings with the Securities and Exchange Commission.
Readers are cautioned not to place undue reliance on forward-looking statements.
The Company undertakes no obligation to update such statements to reflect actual
events.
APA
Enterprises,
Inc. Contact Information:
Anil
Jain
Chief
Executive Officer
info@apaoptics.com
763-784-4995
2

EX - 99 . 1 4 ex99 _ 1 . htm EXHIBIT 99 . 1 Exhibit 99 . 1 APA Enterprises , Inc . sells its MOCVD Operations and Licenses its Gallium Nitride ( GaN ) based HFET Patents and Technology The Company will focus solely on GaN products in ultra violet ( UV ) detectors and transistors . Minneapolis , MN , March 15 , 2006 . APA Enterprises ( Nasdaq : APAT ) announced today that it has sold its multi - wafer Metal Organic Chemical Vapor Deposition ( MOCVD ) operations and related intellectual property and entered into a revenue sharing licensing agreement for total consideration of $ 1.9 million in cash . The transaction includes sale of its multi - wafer MOCVD system and technical know - how associated with the growth of state - of - the - art epi - layers : two hetero junction field effect transistor patents , a pending patent application , and associated intellectual property . The operations were located in an off - site leased facility . Terms of the transaction allow APA to market and sell products for applications greater than 1 GHz and provide revenue sharing based on future licensing agreements regarding these patents . The asset purchase agreement includes an additional consulting agreement for up to $ 100,000 over the course of one year . The transaction impacts three employees associated with the development and growth of the epi - layers . APA 's Optronics Division will now focus mainly on GaN products in both UV detector and power amplifier areas . The Company is already pursuing the GaN - based UV detector market for both commercial and industrial applications . The Company is also developing power amplifiers that target the cellular communications market . Going forward , the Company will procure transistors from outside sources to support power amplifier plans . The Company began focusing its UV detector manufacturing operations in June 2004 when it discontinued its detector manufacturing consisting of detector packaging operations in Aberdeen , South Dakota and growth and processing operations of its standard gallium nitride ( GaN ) and aluminum gallium nitride ( AlGaN ) detectors in Blaine , Minnesota . " The recent transaction provides valuable cash and should decrease operating costs in the future " , said Dr . Anil Jain , President of APA Enterprises , Inc . " Focusing on the transistor products based on procured transistors will have the potential of early entry into the market at lower costs " , added Jain . About APA Enterprises , Inc . APA Enterprises , Inc . consists of an Optronics group and a Cables & Networks group . The Company develops , designs , manufactures and markets a variety of fiber optics , copper and gallium nitride ( GaN ) based components and devices for industrial , commercial , consumer and scientific applications . Cables & Networks designs , manufactures and markets a variety of fiber optic and copper components to the data communication and telecommunication industries . Optronics is active in the development , design , manufacture and marketing of ultraviolet ( UV ) detection and measurement devices for consumers and industrial customers , and gallium nitride ( GaN ) based power amplifiers targeting cellular communication markets . Additional information about APA Enterprises is available at http://www.apaenterprises.com . Forward - looking statements contained herein are made pursuant to the safe harbor provisions of the Private Litigation Reform Act of 1995 . These statements are based upon the Company 's current expectations and judgments about future developments in the Company 's business . Certain important factors could have a material impact on the Company 's performance , including , without limitation , delays in or increased costs of production , delays in or lower than anticipated sales of the Company 's new products , the Company 's ability to sell such products at a profitable price , the Company 's ability to fund operations , and other factors discussed from time to time in the Company 's filings with the Securities and Exchange Commission . Readers are cautioned not to place undue reliance on forward - looking statements . The Company undertakes no obligation to update such statements to reflect actual events . APA Enterprises , Inc . Contact Information : Anil Jain Chief Executive Officer info@apaoptics.com 763 - 784 - 4995 2