Notice of Capital Alliance with Novel Crystal Technology, Inc.

Torex Semiconductor Ltd. (Tokyo Japan: President, Koji Shibamiya, 6616: 1st section at Tokyo Stock Exchange, hereafter Torex) and Novel Crystal Technology, Inc. (Sayama-Shi, Saitama, Japan, President & CEO Akito Kuramata, hereafter Novel Crystal Technology) have formed a capital alliance with the aim of opening up new markets.

Purpose of Capital Alliance

As the only dedicated analog power source IC manufacturer in Japan, Torex has for many years promoting product development that emphasize low quiescent current and miniaturization and expanded our business worldwide. Novel Crystal Technology is a venture company that was strategically carved out from Tamura Corporation and is a technology transfer venture of the National Institute of Information and Communications Technology (NICT). It is engaged in the development, manufacture, and sale of β-type gallium oxide (β-Ga2O3) single crystal substrates and epitaxial wafers, as well as the development of power devices. This capital alliance is aimed at further expanding the business.

Details of Capital Alliance

Against a backdrop of worsening environmental problems, the market for power electronics—which are one effective means of achieving an energy conserving society—is forecast to experience high growth over the next ten years. Power devices which use the β-Ga2O3 handled by Novel Crystal Technology are garnering interest as products that could deliver both low-cost and high performance, and expectations for the achievement are building ever higher. We expect this capital alliance to create a cooperative relationship between entire Torex group and Novel Crystal Technology, and to produce a variety of synergies through the fusion of Torex's analog power source IC expertise and Novel Crystal Technology's β-Ga2O3 technology.

"We are pleased to be able to welcome Torex Semiconductor as a new shareholder. We hope to accelerate product development for ultra-low loss, low-cost β-Ga2O3 power devices by combining the strengths of Novel Crystal Technology which leads the world in the development of β-Ga2O3 power devices and Torex Semiconductor which boasts a global business based on development and sales of small-scale, power-saving power source ICs." (Comment from Novel Crystal Technology President & CEO, Akito Kuramata)

"For our company which has developed products in pursuit of power savings, miniaturization in power source ICs, is very glad to be able to build a cooperative relationship with Novel Crystal Technology which leads the world in the development of ultra-low loss, low-cost β-Ga2O3 power devices. By sharing the market needs and technological information obtained from our general-purpose power source IC sales, we want to promote the development of β-Ga2O3 power devices and the development of new markets, and share future growth strategies." (Torex Semiconductor Ltd. President, Koji Shibamiya)

Novel Crystal Technology, Inc.

Name: Novel Crystal Technology, Inc.
Head Office: 2-3-1, Hirosedai, Sayama-Shi, Saitama
Representative: President & CEO Akito Kuramata
Businesses Areas: Manufacture and sales of substrates with gallium oxide epitaxial film
Manufacture and sales of single crystals and their applied products
Manufacture and sales of semiconductors and their applied products
URL: ( https://www.novelcrystal.co.jp/)