Dynex Power Announces New Loan Agreement with CSR Times Electric
Loan Enables Purchase of New Equipment to Realize Higher Standards and Increase Capacity
Lincoln, England, April 16th, 2014 – Dynex Power Inc., a leading specialist high power semiconductor company, today announced that it had borrowed C$5.1 million from CSR Times Electric. The loan was taken to purchase new production equipment that will improve wafer process control and quality management and achieve higher product standards. It will also increase capacity for new products in the IGBT wafer fab in Lincoln, UK. The loan is denominated in Chinese Yuan. It is repayable in 5 years and carries interest at 5%.
Dr. Paul Taylor, President and Chief Executive Officer said, “In rapidly overcoming the production yield issues reported January 22nd, we identified the need to improve certain production processes in order to consistently realize the new product selection standards. We determined that the next step was to install some new equipment that would give us better control of key production processes. The new equipment will also increase capacity for certain new processes and help us respond to a growing demand from China.”
Bob Lockwood, Chief Financial Officer commented, “We could not fund this new equipment out of our existing facilities and CSR Times Electric offered to lend us the money at a good price with staged repayments from end of the third year until the end of the fifth year. It is extremely useful for us to be able to buy this equipment without using the banking facilities we use to run the business day to day.”