Leadis Technology, Inc., an analog and mixed-signal semiconductor developer of color display drivers, power management and touch ICs for mobile consumer electronics devices, today announced the sale of its display driver business to AsTEK, Inc., a privately-held company located in Korea. The consideration paid was $3.5 million of cash plus $0.5 million of assumed liabilities. Leadis retains rights to most of the current display driver products in production, as well as ownership of its proprietary EpiC(TM) technology for AM-OLED displays.
“As we stated in our last earnings release, we must significantly reduce expenses to preserve cash and further focus the company,” said Mr. Tony Alvarez, President and CEO of Leadis. “While we remain optimistic about the prospects of EpiC(TM) technology based on results to date, because of technical and market issues bringing this innovative technology to market will take longer than we originally anticipated. This transaction allows AsTEK to focus its resources on development of new display driver products, and it enables Leadis to focus on its Touch and Power Management products while retaining revenue from legacy display driver products. Combined with other cost cutting measures, we have now dramatically reduced our operating expenses.”
