POET Technologies (PTK:TSXV) got another step closer to commercialization and revenues Wednesday. The much-discussed TSX Venture tech stock has dominated liquidity for years relative to other juniors in its respective sandbox. Today’s press release that it had expanded its manufacturing capabilities via a partnership with Wavetek Microelectronics gave investors another positive to focus on.
We have been writing about POET for some time, publishing our first report on January 7th 2014, months prior to the stock hitting its eventual high in mid-2014. The article, titled POET Technologies: TSX Venture Tech Stock you haven’t heard of, explained in basic terms POET’s platform for monolithic fabrication of integrated circuit devices containing both electronic and optical elements on a single semiconductor wafer.
POET manufacturing and fabrication plans accelerate
This wafer, or chip, had and has the potential to re-write Moore’s Law resulting in a new era of innovation in integrated circuits.
Today, POET describes its patented module-on-a-chip process, which integrates digital, high-speed analog and optical devices on the same chip, as something designed to serve as an industry standard for smart-system fabrication.
Watching POET rebound is deja vu for many who have followed the story for any amount of time. In an August 26th article titled POET Technologies delivers on lab-to-fab acceleration, I wrote that:
“The market panic of the past few weeks took POET to its lowest level since early 2014 ($0.62 per share), before it became a household name on the Venture; but, as it has in the past, the company proved it may be down, but is nowhere near being out.”
Click here to read the entire article.
POET Technologies’ stock rising
POET Technologies was up over 8% today, due to the inking of another manufacturing agreement that should take the company closer to rolling out its various opto-electronic fabrication processes.
This is not the first manufacturing services agreement the company has signed (agreement with (ANADIGICS took place in August of 2015).
What’s different now? Investors and the company have been focusing on its successful lab-to-fab transition for some time and see these agreements as a clear step closer towards achieving revenue.
A disruptive technology is simply that, until it enters the market and becomes a serious disruption to the status quo and inferior product services.
In a Seeking Alpha article from last year titled POET Technologies About To Move From Stealth Mode To Wealth Mode, the companies fabrication process is further explained:
“POET Technologies (OTCQX:POETF) utilizes gallium arsenide (GaAs) semiconductor fabrication processes never before achieved to deliver much higher chip performance (up to 10x), significantly lower power usage as well as multifunctional capabilities on a single chip, including universal memory, electrical and optical functionality.”
Click here to read the entire article.
Despite weakness and extreme volatility in the overall markets, deals are getting done. In our latest EBookwe reveal 50 leaders who took small-cap stocks to stunning multimillion and, in some cases, billion dollar buyouts. The companies these leaders run today are described in this one of a kind rolodex of some of the top entrepreneurs and business minds in the small-cap mining, technology and energy sectors.
The above summarizations have led to expectations and continued speculation in POET Technologies’ share price.
After falling to a 52-week low of $0.62 per share in late August, POET has provided investors not one, but 3 opportunities to cash out above $1 per share. POET was up over 8% on news this morning, to a high of $0.97 per share.
POET Technologies – 6 Month Chart
POET is still off significantly from its highs above $2.50 per share in early 2014.
The company referred to this morning partner deal with Wavetek as “a significant milestone in its lab-to-fab transition…”
Wavetek Microelectronics Corporation is a member of UMC’s New Business Group.
The company reported that:
“The POET platform transfer and manufacturing agreement with the Hsinchu Science Park based Gallium Arsenide foundry is an acceleration of POET’s ultimate objective of working with a “pure-play” foundry offering a wide range of dedicated, flexible and competitive foundry services.”
POET Chief Operations Officer Dr. Subhash Deshmukh, added that:
“Its manufacturing capabilities provide POET the foundry services we need to meet the high volume and cost requirements that are critical to our success in delivering low cost monolithically integrated opto-electronic transceivers.”
Click here to read the entire quote and full press release.
POET‘s new partner, Wavetek, is located at UMC Fab 6A in the Hsinchu Science Park, Taiwan, and was established as the science park’s first 6-inch GaAs (Gallium Arsenide) foundry. This move to China is also symbolic of POET Technologies‘ stage in development as it shifts more to manufacturing and production from development.
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