Himax Technologies Sees A $23M-$24M Pre-Tax Gain On The Disposal Of Its Stake In A Tech Startup

One of its equity-method investees, a technology startup company, had entered into a definitive agreement under which all of its equity interests will be acquired by an independent third-party semiconductor technology company for a total purchase price of US$80 million in cash, subject to adjustments based on net working capital and net cash at closing. Himax currently holds approximately 31% of the investee’s fully diluted equity interests. Based on the Company’s preliminary assessment, Himax estimates that the transaction will result in a pre-tax gain on disposal of approximately US$23 to US$24 million upon closing. The estimated gain is based on the estimated carrying value of the investment and remains subject to final purchase price adjustment. The proposed transaction remains subject to customary closing conditions, regulatory approvals, and other conditions set forth in the def...