laird plc ("laird") today announces the acquisition of nextreme thermal solutions, inc. (“nextreme”), the us based developer of thin-film thermoelectric technologies.

nextreme’s innovative technology, delivering high precision cooling in an ultra-small form factor, will advance laird’s leadership in its existing thermal management business. this is particularly beneficial as devices become smaller and more compact. nextreme and laird currently have a strategic design and distribution partnership, but the acquisition enables wider market access to serve current and potential new customers in application areas such as sensors, solar power and leds. in addition laird provides the ability to rapidly scale-up nextreme’s operations in order to exploit the full potential of these next generation products.

laird will acquire 100% of the equity of nextreme for a cash cost of $1, with potential cash earn-out payments based on a multiple of 0.4 times revenue over a four year period from 2014 (capped at $60 million if $150 million in revenue is achieved). in 2013, nextreme is expected to make a loss of $3 million as the company moves from technology investment to mass production.

nextreme’s products and staff will be integrated into laird’s existing thermal business unit.

commenting on this acquisition, chief executive david lockwood, said:

“nextreme is the next generation in technology for thermoelectrics. it can fundamentally change the way we cool electronics at the most integrated levels while being produced in large volumes. this significant shift in technology will also enable new applications such as energy harvesting.

nextreme is an excellent fit with our business growth strategy. through this acquisition we will combine the most innovative technology with our market presence and ability to scale operations, to deliver added value to our customers and enable us to move into new segments.”

to see how nextreme's technology works, please scroll down to see the video at the end of this news release.

for enquiries:

laird technologies

nextreme technologies

laird plc
jonathan silver, finance director
anna hartropp, head of investor relations
tel: 020 7468 4040

maitland
brian hudspith
liz morley
tel: 020 7379 5151

notes:

about laird

laird is a global technology company focused on providing components and solutions that protect electronic devices from electromagnetic interference and heat, and that enable connectivity through wireless applications and antennae systems.

about nextreme

nextreme is a privately owned company that designs and manufactures micro-scale thermal and power management products that overcome thermal and power constraints in electronics for applications in support of products for the telecom, consumer, test and measurement, industrial, automotive and government/aerospace markets.

the company has patented thin-film embedded cooling technology and power generation capabilities that have been incorporated into the widely accepted copper pillar bumping process used in high-volume electronic packaging.

for the year ended 30 september 2012, revenue was $0.4 million. a net loss of $5.3 million on a pbt basis was incurred. nextreme has gross assets of $1.2 million.

How Does Nextreme's Technology Work?