Broadline Capital is investing $20 million in newly issued stocks in MagicMicro Co Ltd, while Watermark Capital Pte Ltd is investing $10 million. MagicMico, of South Korea, is an electronics component company.
SEOUL, SOUTH KOREA (PRWEB) SEPTEMBER 19, 2018
MagicMicro Co. Ltd. (KOSDAQ: 127160.KQ), a South Korean electronics component company, today announced that it has entered into an agreement led by U.S.-based Broadline Capital, a global alternative investment firm, under which Broadline Capital will invest $20 million in the form of newly issued stocks and Watermark Capital Pte Ltd., a Singapore-based private investment firm, will co-invest an additional $10 million.
Broadline was brought in by MagicMicro as an experienced technology investor to accelerate the Company’s strategic corporate transformation as it launches new initiatives involving the fast-growing fields of Photonic Integrated Circuits (PIC), Blockchain, Distributed Storage and Cloud Optimization Technologies.
Earlier this year, MagicMicro acquired 75 percent of LioniX International B.V., the Dutch photonic chip developer, for $28.59 billion won ($25.5 million). LioniX International is a research-focused organization that holds many patented technologies in optical semiconductors, biosensors, virtual reality and augmented reality. The vertical integration of LioniX International positions MagicMicro as a leading developer of application components based on predefined PIC based modules. PIC technology offers a broad spectrum range of optical semiconductors, positioning the Company to support customers’ tailored needs in the 5G communications, AI, Big Data, and biosensor markets.
“Executing our strategic plan with Broadline Capital’s assistance is the best way to accelerate MagicMicro’s corporate transformation and build long-term shareholder value,” said William Won Jang, the chief executive officer of MagicMicro Co. Ltd.
“Broadline is an experienced technology investor with a long-term perspective that can help us to drive higher-margin technology-driven revenue and position ourselves as a future category-leading developer for the 5G and biosensor markets,” Mr. Jang commented, “This investment by Broadline and Watermark is a strong vote of confidence in our long-term strategy and future growth potential, and it supports our ability to fund new growth opportunities and increase shareholder value in the years ahead. We look forward to continuing our corporate transformation and extending our product capabilities into emerging categories.”
In connection with the investment, MicroMagic will expand its Board of Directors with the appointment of Mr. Chris Thorne, executive chairman of Broadline, and Mr. Fook Meng Chan, chief executive officer of Watermark, to the Company’s Board upon the closing of the transaction.
Mr. Jang continued, “We are delighted to welcome Chris Thorne and Fook Meng Chan to our Board. They both have well-deserved reputations as strong corporate partners, and we are highly confident that the Board will benefit greatly from their strategic and financial expertise. MagicMicro is well positioned to leverage their global network as we look to expand our strategic partnerships and evaluate new growth opportunities.”
About Broadline Capital Founded in 2005, U.S.-based Broadline Capital is a global alternative investment firm primarily focused on growth capital, impact investments and late-stage venture capital in North America and Asia. The firm has received numerous top industry recognitions over the past decade including Global Technology Deal of the Year, named by The M&A Advisor, and Asia Venture Deal of the Year, named by Private Equity International, among others. At Broadline Capital, we’re inspired by champions — people of vision and courage — whose ideas can positively change the world, and who are ready to transform their ideas into the next big, industry-changing company. For more information, please visit https://www.broadlinecapital.com.
About Watermark Capital Pte Ltd. Watermark Capital Pte Ltd. is a Singapore-based investment holding company. The firm is led by its founder and chief executive officer, Fook Meng Chan.
About MagicMicro Co. Ltd. MagicMicro Co. Ltd. (KOSDAQ: 127160.KQ) is a leading developer of Display LED, Lighting LED and Vehicle LED on the basis of innovative and creative technologies. The Company has self-core technologies including “Spot Plating” and an established “All in House system”, combining operational excellence with technology advantages. In addition to providing exceptional value for its customers, MagicMicro’s customer satisfaction is reinforced by its emphasis on quick map based CRM (Customer Relationship Management), which helps the Company to deliver exceptional levels of customer service. For more information, please visit http://www.magicmicro.co.kr.