• Innovative Laser Portfolio Complements indie’s LiDAR Solutions for ADAS/Autonomous Vehicles
• Highly Integrated Architectures Promise 10x Improvements in System Performance and Cost
• Expands Geographic Design and Development Footprint to Uniquely Serve Common Customers
• Solidifies indie’s Position in Rapidly Growing LiDAR Market
• Expected to Close in Q4 2021 and be Immediately Accretive

ALISO VIEJO, Calif. and QUEBEC City, Quebec – indie Semiconductor, Inc. (Nasdaq: INDI), an Autotech solutions innovator, today announced it has signed a definitive agreement to purchase TeraXion Inc., a market leader in the design and manufacture of innovative photonic components.  This acquisition accelerates indie’s vision of becoming a semiconductor and software level solutions provider for multiple sensor modalities spanning advanced driver-assistance systems (ADAS) and autonomous vehicles.

Since their founding in 2000, TeraXion has built a solid industry reputation based on innovative and highly reliable components, underpinned by more than 30 global patents.  The Company produces low noise lasers, Bragg gratings and integrated photonic elements to address high-performance applications.  More recently, TeraXion was an optical sensing reference design partner of indie, supporting next-generation Frequency Modulated Continuous Wave (FMCW) systems for automotive light detection and ranging (LiDAR).  

“Given the critical role LiDAR plays in achieving maximum levels of safety for assisted and self-driving cars, we are excited to welcome TeraXion’s world class design team and integrate their differentiated IP and product portfolio,” said Donald McClymont, indie’s co-founder and chief executive officer.  “Specifically, TeraXion has developed leadership laser technologies that, when optimized together with our SoC solutions, enable order of magnitude improvements in both system performance and cost.  Accordingly, this highly synergistic combination built on a shared vision and strong cultural fit, positions indie to accelerate mass market deployments of LiDAR platforms.”   

“TeraXion is thrilled to be joining forces with indie to take our business to the next level,” said Ghislain Lafrance, TeraXion’s president and chief executive officer.  “By combining indie’s mixed-signal, DSP, software and power management experience with our laser and sensing technologies, together we intend to enable truly unparalleled solutions for ADAS and autonomous driving as well as adjacent high reliability applications.”  Mr. Lafrance plans to join indie’s senior management team and continue to lead TeraXion’s operations in Quebec.

indie is at the forefront of disruptive semiconductor and software solutions for LiDAR, allowing its customers to create differentiated platforms that will help unleash next-generation driver-assistance systems and ultimately enable true autonomous driving.  Via its holistic systems approach, indie is addressing the market need for comprehensive, cost-effective architectures that enhance the circle of safety and help fulfill the promise of the tomorrow’s vehicles today.  According to a March 2021 MarketWatch report, the global automotive LiDAR segment is expected to grow at a 28 percent compound annual growth rate off a 2020 base, creating a $3.2 billion addressable market by 2027.

Based on indie’s closing stock price as of August 30, 2021, indie will pay approximately US$159 million for TeraXion, comprised of US$80 million in cash plus a fixed number of eight million indie Class A common shares.  The transaction has been approved by the boards of directors of both indie and TeraXion and is expected to close in the fourth quarter of 2021, subject to customary closing conditions.  Excluding any non-recurring acquisition-related charges and amortization of intangibles, indie expects the acquisition to be immediately accretive and will provide more financial details during its next earnings conference call.