POET Technologies Inc.(OTCQX:POETF) (TSX-V:PTK), a developer of opto-electronics fabrication processes for the semiconductor industry, today announced that on October 17, 2016, it entered into an Agreement with the Singapore Economic Development Board (EDB) to expand POET’s research and development (R&D) operations in Singapore.
POET, through its acquisition of DenseLight Semiconductors, reaffirmed its strategic intent to expand its R&D and manufacturing operations in Singapore. POET will establish an Integrated Photonics center within its current operations to further develop and commercialize differentiated photonics and opto-electronic products. This is expected to increase market penetration and enhance market acceptance of the POET portfolio as it is introduced. This center signifies the growing importance of integration in photonics applications as a means to drive increased adoption and improve POET’s competitive positioning. The Singapore operations will further the development and production of POET’s key technologies, including those developed with the joint program POET established with the Institute of Materials Research and Engineering (IMRE) in Singapore earlier this year. The planned initiatives are expected to gradually add up to 30 engineers and scientists to POET, as the R&D center is established.
“EDB’s support will be instrumental in helping us drive the growth of intellectual property, talent and operations in Singapore, thus providing a foundation for compound semiconductor and photonics growth in the region”, said Chairman Mr. Ajit Manocha. “I have been engaged with Singapore for much of my career and value the nurturing and enduring partnerships with the EDB throughout. We chose Singapore because of EDB’s initiative to grow the compound semiconductor and photonics ecosystem in the region, and we are thankful to the EDB for supporting our Integrated Photonics Center of Excellence in Singapore. The country’s business-friendly climate and support from government agencies truly set it apart. We look forward to continuing to work with the EDB as we accelerate the commercialization of our highly differentiated technologies serving a variety of applications and markets.”
“This support from the EDB could potentially allow POET and its subsidiaries, DenseLight and BB Photonics, to accelerate product and revenue growth by leveraging Singapore’s R&D efficiencies, infrastructure, learning institutions and human capital and its strong high-technology manufacturing base”, said CEO Dr. Suresh Venkatesan. “Current projects in Singapore include the research and development of the POET Platform for Display applications, as well as the commercialization of POET, DenseLight and BB Photonics Intellectual Property in the fast growing Data Communications and Sensing markets.
“EDB is committed to developing the compound semiconductor industry through partnerships with companies to perform critical R&D and manufacturing in Singapore. Innovations in compound semiconductor technology can enable the next generation of optical communication solutions needed for increasing requirements in data centers. We are delighted to partner with POET Technologies to lead DenseLight, a company with a strong Singapore core of talent and activities, to greater heights”, said Mr. Pee Beng Kong, Director for Electronics, EDB.
The Company is eligible to receive support up to a maximum of S$10,699,000 over five years pursuant to the EDB letter of offer, subject to headcount and expenditure thresholds. Should the terms of the support agreement with the EDB not be satisfied by the Company, the EDB reserves the right to request repayment of any support advanced to the Company.