Business Editors
ST-LAURENT, Quebec--(BUSINESS WIRE)--April 14, 2000
(Nasdaq:LUMM) Lumenon Innovative Lightwave Technology, Inc. is pleased to announce that it has reached an agreement in principle with SGF Tech Inc., a wholly-owned subsidiary of Societe Generale de Financement du wholesale jewelry Quebec (SGF), for partial financing of Lumenon's expansion project. SGF Tech Inc. would invest in Lumenon amounts in the order of US$14 million in the form of a convertible debenture at a conversion price capped at US$20 per share. The transaction is subject to approval by the Boards of Directors of Lumenon and SGF.
"This agreement is important for Lumenon to meet with the timeline for its expansion plans", said Dr. Chia-Yen Li, Chief Operating Officer of Lumenon. "Lumenon has started the process of staffing and equipping its new volume manufacturing plant. The plant will include an 8-inch photonic chip fabrication facility capable of producing 500 integrated photonic devices per day", he added.
Lumenon designs, develops and builds integrated optics devices in the form of compact hybrid glass circuits on silicon chips. Lumenon's shares are listed under the symbol LUMM on the Nasdaq National Market. For more information on Lumenon contact: Stephen Litwin, Investor Relations, Tel. 514-331-3738, Fax: 514-331-1272. More information on four color printing Lumenon is available at .
"This new investment in the high-tech sector is very representative of our will to invest in the knowledge-based industry in Quebec", said Claude Blanchet, CEO and Chairman of the Board of the SGF.
In accordance with its five-year plan, SGF will invest CND$360 million of equity through its High Technology portfolio, generating over CDN$1.8 billion in investments. The industrial and financial holding already holds interests in nine initiatives in this sector, representing close to CDN$150 million invested and some 1,000 jobs created or maintained.
soccer jersey supplierThe mission of Societe Generale de Financement du Quebec is to realize industrial projects meeting normal profitability requirements, in collaboration with business partners. Since 1985, SGF has generated investments of about CDN$6.7 billion, leading to the creation of 22,000 direct and indirect jobs. As of December 31, 1998, juicy couture tracksuits consolidated assets of the SGF totalled CDN$1.8 billion. Companies in which the SGF holds an interest had total assets of CDN$10 billion. SGF has 34 international partners operating in Quebec.
This press release contains certain "forward-looking" statements, as defined in the United States Private Securities Litigation Reform Act of 1995, that involve a number of risks and uncertainties. There can be no assurance that such statements will prove to be accurate and the actual results and future events could differ materially from management's current expectations. Such factors are detailed from time to time in the Company's filings with the regulatory authorities having jurisdiction.
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