IQE snaps up rival

5th Oct 2009 07:21

Semiconductor wafers technology specialist IQE is to buy rival gallium nitride materials supplier NanoGan for up to £3.6m, dependent on performance.The initial consideration of £0.4m will be settled by the issue of new shares and cash. IQE has the option to settle the future milestone payments in either shares or cash."The acquisition of NanoGaN represents a major milestone in our technology roadmap, and reinforces our strategy of being a powerful IP based technology leader in the supply of advanced semiconductor materials to a multitude of high growth markets," Dr Drew Nelson, IQE chief executive officer said.IQE is to raise £0.56m through a placing of 4m shares at 14p per share to help fund the deal.