FREMONT, CA -- (Marketwired) -- 10/30/14 --
AXT, Inc. (NASDAQ: AXTI), a leading manufacturer of compound semiconductor substrates, today announced a program authorizing the repurchase of up to $5 million of the company's common stock.
Any repurchases under this program will be made through open market purchases, block trades, unsolicited negotiated transactions, a repurchase plan under Rule 10b5-1 of the Securities Exchange Act of 1934, as amended (the "Exchange Act"), or any manner that complies with Rule 10b-18 of the Exchange Act. The timing, actual number and value of the shares that are repurchased under this program will be dependent on market conditions and other corporate considerations, including price, corporate and regulatory requirements and alternative investment opportunities. The program is expected to be funded from existing cash balances and cash generated from operations. The company is not obligated to repurchase any particular amount of common stock during any period and may choose to suspend or discontinue the repurchase program at any time.
Shares of common stock repurchased through the repurchase program will become authorized but unissued shares. As of Sept. 30, 2014, the company has approximately 32.7 million shares of common stock outstanding.
"We are pleased to announce the stock repurchase program, which underscores our confidence in the long term growth opportunity in the business and our commitment to delivering stockholder value," said Dr. Morris Young, chief executive officer.
About AXT, Inc.
AXT designs, develops, manufactures and distributes high-performance compound and single element semiconductor substrates comprising gallium arsenide (GaAs), indium phosphide (InP) and germanium (Ge) through its manufacturing facilities in Beijing, China. In addition, AXT maintains its sales, administration and customer service functions at its headquarters in Fremont, California. The company's substrate products are used primarily in lighting display applications, wireless communications, fiber optic communications and solar cell. Its vertical gradient freeze (VGF) technique for manufacturing semiconductor substrates provides significant benefits over other methods and enabled AXT to become a leading manufacturer of such substrates. AXT has manufacturing facilities in China and invests in joint ventures in China producing raw materials. For more information, see AXT's website at http://www.axt.com.
The foregoing paragraphs contain forward-looking statements within the meaning of the Federal Securities laws, including statements regarding repurchases of shares of the company's common stock and expectations of the funding of the repurchase program. These forward-looking statements are based upon specific assumptions that are subject to uncertainties and factors relating to the company's operations and business environment, which could cause actual results of the company to differ materially from those expressed or implied in the forward-looking statements contained in the foregoing discussion. These uncertainties and factors include but are not limited to: overall conditions in the markets in which the company competes; global financial conditions and uncertainties; market acceptance and demand for the company's products; the impact of factory closures or other events causing delays by our customers on the timing of sales of our products; and other factors as set forth in the company's annual report on Form 10-K and other filings made with the Securities and Exchange Commission. Each of these factors is difficult to predict and many are beyond the company's control. The company does not undertake any obligation to update any forward-looking statement, as a result of new information, future events or otherwise.
Gary L. Fischer
Chief Financial Officer
Green Communications Consulting, LLC
Source: AXT, Inc.