Poet Technologies Inc - POET STOCK NEWS

POET Technologies has issued its '2025 Outlook' highlighting its position in AI infrastructure hardware. The company is focusing on developing optical engines for high-speed transceivers, targeting speeds of 800Gbps, 1.6Tbps, and 3.2Tbps to meet explosive AI demand. Key developments include:

- Securing over $110 million in cash, including a pending $25 million public offering
- Acquiring control of Super Photonics Xiamen (SPX)
- Establishing manufacturing partnership with Globetronics in Malaysia
- Working with major customers like Foxconn Interconnect Technologies and Luxshare Tech

The company plans to showcase its most advanced optical engine, including a production-ready 1.6Tbps transmit optical engine, at the upcoming OFC Conference. Market forecasts predict optical transceiver sales to grow at 56.5% annually, reaching 31.9 million units of 400Gbps or greater speeds in 2025.

POET Technologies (TSX Venture: PTK; NASDAQ: POET) has signed an agreement to develop a novel optical engine for high-frequency trading (HFT) operations with a global capital markets firm. The multi-phase project aims to increase speed and reduce latency in current transceiver solutions used in securities trading.

The first phase involves designing POET Optical Interposer-based transceiver engine prototypes to meet customer specifications, followed by additional prototypes and potential production of customized optical engines. The project will generate revenue for POET in 2025 and demonstrates the company's expansion into a new market segment.

POET Technologies has completed its acquisition of Super Photonics Xiamen (SPX), gaining 100% ownership by purchasing the remaining 24.8% equity from Sanan for US$6.5 million, payable over 5 years starting October 31, 2025. The deal includes an option for Sanan to convert payments into POET common shares. Additionally, POET acquired SPX's production equipment for US$3.8 million, payable in four quarterly installments.

The acquisition strengthens POET's 'China Plus One' strategy and complements its recent manufacturing agreement with Globetronics in Malaysia. The combined facilities will have capacity exceeding one million optical engines annually for 800G and higher speed transceivers needed in AI clusters. POET will maintain SPX's assembly operations in Sanan's cleanrooms while considering future location options.

POET Technologies has signed multiple agreements with Globetronics Manufacturing (GMSB) in Penang, Malaysia, for the manufacture of optical engines. The agreements include a Master Agreement, an Optical Engine Purchase Agreement, and a Deed of Consignment for wafer-level process equipment. GMSB's parent company has allocated RM7.7 million (US$1.7 million) for capital expenditures over 2025-2027.

Additionally, POET expects to finalize binding agreements by December 31, 2024, with SAIC regarding the transfer of its 24.8% stake in Super Photonics Xiamen (SPX) joint venture. The company also confirmed that its previously announced US$25 million public offering has been fully subscribed by a single institutional investor, with closing expected after the SPX acquisition completion.

POET Technologies announces a non-brokered public offering of 5,000,000 units at US$5.00 per unit, aiming to raise US$25 million. Each unit includes one common share and half a warrant, with each full warrant exercisable at US$6.00 for five years. The offering price represents a premium over the closing price on TSX Venture Exchange on December 11, 2024. The offering is expected to be fully subscribed by a single Canadian institutional investor and close around December 19, 2024. Proceeds will be used for working capital and general corporate purposes. The offering requires regulatory approvals, including TSX Venture Exchange approval.

POET Technologies has expanded its Board of Directors to six members with the appointment of Bob Tirva as director and Audit Committee member, effective December 5, 2024. Tirva brings over 30 years of technology industry executive experience, having held positions at IBM, Broadcom, Dropbox, and Intermedia Cloud Communications. He most recently served as President, COO, and CFO of Sonim Technologies until its 2022 acquisition.

As compensation, Tirva will receive 18,823 stock options exercisable for 10 years at CAD$7.19 per share, vesting quarterly over 7 months, plus US$17,500 in cash payments. The Board now consists of Dr. Suresh Venkatesan (Chair), Jean-Louis Malinge (Lead Independent Director), Theresa Lan Ende, Glen Riley, Chris Tsiofas, and Bob Tirva.

POET Technologies has completed a US$25 million registered direct offering with a single institutional investor. The company issued 5,555,556 common shares and warrants to acquire up to 2,777,778 additional shares. The combined price was US$4.50 per share with accompanying half-warrant, while the warrant exercise price is US$6.00 per share, valid for five years.

The net proceeds will be used for working capital related to the company's planned expansion of assembly operations into Malaysia and other corporate purposes. No commission, finder's fee, or underwriter was involved in the offering. The offering was made through a prospectus supplement to the company's short form base shelf prospectus, filed with Canadian and U.S. regulatory authorities.

POET Technologies announces a US$25 million registered direct offering, planning to issue 5,555,556 common shares and warrants for 2,777,778 additional shares. The combined price is set at US$4.50 per share with accompanying warrant for half a share. Warrants will be exercisable at US$6.00 per share for five years. The proceeds will support working capital needs, particularly for the company's planned expansion of assembly operations into Malaysia. The offering, expected to close around December 3, 2024, will be made to a single institutional investor through a prospectus supplement to the company's base shelf prospectus.

POET Technologies announced plans to expand its optical engine production capacity in Malaysia. The company signed a binding MOU with Quanzhou Sanan Optical Communication Technology to acquire their 24.8% stake in the Super Photonics Xiamen (SPX) joint venture, making SPX a wholly-owned POET subsidiary. This strategic move enables POET to implement its 'China Plus One' strategy and relocate wafer-scale assembly operations outside China.

The company is negotiating with Malaysian contract manufacturers to establish wafer-scale assembly of optical engines, with operations expected to start by year-end. The expansion will increase production capacity to over one million optical engines annually, focusing on 800G and higher speed transceivers for AI networks through 2026.