Epistar : To Spin Off Foundry Services

Board of Directors of EPISTAR passed the resolution on June 25, 2018 that the NT$1 billion business value will be transferred to the newly established subsidiary Jingcheng Semiconductor. In the spin-off, newly issued common share of Jingcheng Semiconductor will be traded at NT$10 per share in exchange for total 100 million shares of Jingcheng Semiconductor. At the same time, Dr. Ming-Jiunn Jou, the President of EPISTAR, resigned and became the President of Jingcheng Semiconductor. Mr. Chin-Yung Fan will succeed as the President of EPISTAR. The appointment will be effective upon July 16, 2018.

The purpose of the spin-off is to commit itself to the professional service and allocate the resources effectively. Dr. Ming-Jiunn Jou will leverage the company's unique core technologies on epitaxy and chip process to concentrate on the development of semiconductor foundry business such as VCSEL and GaN on Si power electronic components to increase the aggregate revenue, profitability and return on equity (ROE) of EPISTAR Group and maximize the value for shareholders, customers, suppliers, and employees.

In the past 20 years, EPISTAR has undergone several mergers in LED field. In the next 20 years, it will extend to different business areas based on the company's core technologies, and will evolve from'actualize LED Potential' to'actualize III-V Semiconductor Potential'.

Epistar 1.0 has accomplished by two Presidents, Dr. Biing-Jye Lee, now Chariman of EPISTAR who took the lead for the first 10 years, and then Dr. Ming-Jiunn Jou who has been managing the company's operations for the following 10 years. In Epistar 2.0, Mr. Chin-Yung Fan will undertake the role to be the President of EPISTAR. Mr. Chin-Yung Fan has abundant and complete experience who currently serves as the deputy President of the Sales and Marketing Center and has been working in EPISTAR for 20 years. He has involved in AlGaInP and InGaN product manufacturing, quality management and marketing and is one of the long-term management talents cultivated by the company. His outstanding leadership will play an important role in Epistar 2.0. He is responsible for managing the company and leading the development of LED and long-wavelength laser epitaxy business to create a new era of EPISTAER by seamlessly integrates his talents and experience to bring in another record height performance.