VANCOUVER, CANADA -- March 29, 2004 -- Nam Tai Electronics, Inc. (“Nam Tai” or the “Company”) (NYSE Symbol: NTE; CBOE Symbol: QNA; Frankfurt Stock Exchange Symbol: 884852) today announced that it has agreed to make a strategic investment for a total sum of $7.75 million in Stepmind, a French fabless supplier of chipsets (RF Transceiver, Baseband) and advanced and high-end complete solutions for wireless networks.
Further to our news release of February 6, 2004, Nam Tai has finalized and signed the amended agreements in relation to its investment in Stepmind. As mentioned in that news release, Nam Tai’s investment in Stepmind will be made in phases. The first phase of investment in the sum of approximately $2.63 million (Euros 2.12 million) has already been released to Stepmind. The second phase of investment in the sum of approximately $2.64 million (Euros 2.13 million) will be released to Stepmind from the escrow account in August 2004, subject to the fulfilment of certain conditions. Subject to the fulfilment of some other conditions, Nam Tai will have opportunity to further make a third phase investment in Stepmind up to a sum of approximately $2.48 million (Euros 2 million) in October 2004.
“Over the course of Nam Tai’s history, we have made many strategic investments. These investments have enabled us to gain more advanced technologies, new customers, suppliers and/or partners. The investment in Stepmind gives Nam Tai the opportunity to further develop more advanced wireless communication business. It may also create synergy for our existing manufacturing of radio frequency, RF modules for cellular phones and other wireless products. Having said that, however, we must bear in mind the usual high risk of investment generally associated with investment in companies engaged in research and development activities,” said Mr. Tadao Murakami, Chairman of Nam Tai. “In preparation for future market requirements including high growth wireless applications, Nam Tai is continually seeking out the most advanced manufacturing technologies that will provide its customers with the best services and highest qualities.”
About Stepmind (www.stepmind.com)
Founded in July 2000, Stepmind is a fabless solutions and components supplier, developing applications which require high performance and secured data links. Stepmind develops and designs integrated circuits in the field of RF transceivers and baseband according to the GSM/GPRS/EDGE, IEEE 802.11a/b/g and HiperLAN2 standards. This expanding microelectronics company will also market WLAN complete solutions.
For further information contact of Stepmind:
Cel: +33 6 75 37 31 46 – Tel: +33 1 41 10 29 13
Fax : +33 1 41 10 29 29
Other new investors of Stepmind are AGF Private Equity (“AGF PE”) and Mighty Wealth Group Limited. AGF PE is a company of the Allianz Group and is among the leaders in France in managing primary funds of funds. AGF PE manages an investment portfolio worth over EUR800 million for institutional and private investors, through two activities: funds of funds and venture capital investments.
About Nam Tai
We are an electronics manufacturing and design services provider to original equipment manufacturers of telecommunications and consumer electronic products. Through our electronics manufacturing services operations, we manufacture electronic components and subassemblies, including LCD panels, LCD modules, radio frequency modules, flexible printed circuit subassemblies and image sensors. These components are used in numerous electronic products, including cellular phones, laptop computers, digital cameras, copiers, fax machines, electronic toys, handheld video game devices and microwave ovens. We also manufacture finished products, including cellular phones, palm-sized PCs, personal digital assistants, electronic dictionaries, calculators and digital camera accessories for use with cellular phones.
Certain statements in this press release are “forward-looking statements” within the meaning of U.S. federal securities laws. Nam Tai intends that these statements be covered by the safe harbors created under these laws. These forward-looking statements are subject to risks, uncertainties and other factors that could cause actual results to differ materially from future results expressed or implied by the forward-looking statements. Many of these factors are beyond Nam Tai's ability to control or predict. Given these uncertainties, readers are cautioned not to place undue reliance on the forward-looking statements, which only speak as of the date of this press release. Nam Tai does not undertake any obligation to release publicly any revisions to these forward-looking statements to reflect events or circumstances after the date of this press release or to reflect the occurrence of unanticipated events, except as may be required under applicable securities laws.