Actions Semiconductor Provides Update on Investment Activities
Dec 18, 2008
Actions Semiconductor Co., Ltd. (NASDAQ: ACTS), one of China's leading fabless semiconductor companies that provides comprehensive mixed-signal system-on-a-chip (SoC) and multimedia digital signal processing (DSP) solutions for portable consumer electronics, today provided an update on recent investment activities. Due to market conditions, Actions has withdrawn from a recently announced transaction. In addition, the company announced that it has made two new strategic investments.
Due to market uncertainties, Actions has withdrawn its recently announced investment in a Taiwan-based company that focuses on thin film technologies for touch-screens for portable handheld devices. Actions has already received the refunded proceeds from the Taiwan-based company.
In light of the current market conditions, Actions has sharpened its focus on making smaller investments that are closely aligned with its core business. The company has entered into an agreement to invest an additional $3 million in a fabless semiconductor company that provides SoC solutions to the Mobile Digital TV and the portable multimedia markets, as a follow on to an initial investment of $2.3 million in the company in 2007.
Actions also entered into an agreement to invest $3 million in a China-based website that hosts video and audio content to further its strategy to address adjacent markets and capitalize on its strength in portable consumer electronics.
"We believe that these new investments strategically align with our core business model, while allowing us to further expand our long-term growth opportunities. Our solid balance sheet is one of the strengths of the Company. These strategic investments demonstrate our commitment to a conservative investment strategy that focuses on synergy, value creation and technological innovation," stated Mr. Nan-Horng Yeh, CEO of Actions Semiconductor.
About Actions Semiconductor
Actions Semiconductor is one of China's leading fabless semiconductor companies that provides mixed-signal and multimedia SoC solutions for portable consumer electronics. Actions Semiconductor products include SoCs, firmware, software, solution development kits, as well as detailed specifications of other required components and the providers of those components. Actions Semiconductor also provides total product and technology solutions that allow customers to quickly introduce new portable consumer electronics to the mass market in a cost effective way. The company is headquartered in Zhuhai, China, with offices in Beijing, Shanghai, and Shenzhen. For more information, please visit the Actions Semiconductor website at http://www.actions-semi.com/ .
"Safe Harbor" Statement under the Private Securities Litigation Reform Act of 1995
Statements contained in this release that are not historical facts are forward-looking statements, as that term is defined in the Private Securities Litigation Reform Act of 1995. Forward-looking statements, including financial projections and forecasts, involve risks and uncertainties that could cause Actions Semiconductor's actual results to differ materially from our current expectations. Factors that could cause Actions Semiconductor's results to differ materially from those set forth in these forward-looking statements include customers' cancellation or modification of their orders; our failure to accurately forecast demand for our products; the loss of, or a significant reduction in orders from, any of our significant customers; fluctuations in our operating results; our inability to develop and sell new products; defects in or failures of our products; the expense and uncertainty involved in our customer design-win efforts; the financial viability of the distributors of our products; consumer demand; worldwide economic and political conditions; fluctuations in our costs to manufacture our products; our reliance on third parties to manufacture, test, assemble and ship our products; our ability to retain and attract key personnel; our ability to compete with our competitors; and our ability to protect our intellectual property rights and not infringe the intellectual property rights of others. Other factors that may cause our actual results to differ from those set forth in the forward-looking statements contained in this press release and that may affect our prospects in general are described in our filings with the Securities and Exchange Commission, including our most recently filed Forms F-1, 20-F and 6-Ks. Actions Semiconductor undertakes no obligation to update or revise forward-looking statements to reflect subsequent events or changed assumptions or circumstances.
For more information, please contact: Investor Contacts: Lisa Laukkanen The Blueshirt Group Email: firstname.lastname@example.org Tel: +1-415-217-4967 Jimmy Liu Investor Relations at Actions Semiconductor Email: email@example.com Tel: +86-21-5080-3900 X1211
SOURCE: Actions Semiconductor Co., Ltd.
CONTACT: Lisa Laukkanen, The Blueshirt Group at firstname.lastname@example.org
or +1-415-217-4967; Or Jimmy Liu, Investor Relations at Actions Semiconductor
at email@example.com or +86-21-5080-3900 X1211
Web site: http://www.actions-semi.com/