SemiLEDs, a developer and manufacturer of LED chips and LED components, has announced it has entered into a definitive common stock purchase agreement with XiaoQing Han, chairman and CEO of Beijing XiaoQing Environmental Protection Group. Under the terms of this agreement, Han will acquire a 15% interest in SemiLEDs common stock at a purchase price of US$1 per share for a total consideration of US$5 million and will join the SemiLEDs board of directors upon closing of the transaction.
Han is a veteran in the national environmental protection industry within China, having studied water supply and drainage at TsingHua University and Beijing University of Civil Engineering and Architecture and having spent the past 20 years focused on the water treatment segment, said SemiLEDs.
By aligning the interests of both SemiLEDs and Beijing XiaoQing Environmental Protection Group, both companies expect to benefit from operating synergies generated through the potential formation of several joint projects including utilizing LED technology into the waste water treatment plants, and packaging LED luminaries in provinces and regions throughout China. The combination of environmental protection and energy saving technology is expected to generate significant growth opportunities for both companies in the years ahead, added SemiLEDs.
