Palo Alto, CA – Feb. 29, 2008 – FotoNation, a leading provider of embedded imaging solutions for digital still camera and mobile phone applications has announced its acquisition by Tessera Technologies, Inc. (Nasdaq:TSRA), a leading provider of miniaturization technologies for the electronics industry. Tessera will pay $29 million in net cash with up to $10 million of additional consideration, contingent upon certain milestones over one year.
FotoNation develops innovative embedded solutions to simplify picture taking and improve image quality for digital cameras and mobile devices from its headquarters in Burlingame, CA. Advanced hardware and firmware image processing solutions are included in FotoNation’s impressive portfolio of patents, notably: red-eye correction, face tracking, smile and blink detection, and additional solutions digital image quality enhancements. FotoNation’s technology can be found in more than two-thirds of digital still cameras sold today.
“FotoNation’s solutions are a perfect complement to Tessera’s image enhancement technologies and the combined strengths of our two companies will help drive the proliferation of digital still camera functionality in mobile camera devices, as well as open new channels such as digital still cameras for our product portfolio. With this acquisition, Tessera will further expand its broad portfolio of integrated consumer optics solutions and be positioned to become a ‘one-stop shop’ for a full range of camera imaging technologies.” – Bruce McWilliams, CEO, Tessera
“There is significant, untapped potential for sophisticated imaging solutions in the growing camera phone market, and Tessera’s close ties to this market will enable us to accelerate the commercialization of FotoNation’s rich portfolio of technology and products. Through this acquisition, we see highly compelling opportunities resulting from combining FotoNation’s advanced image processing technologies with Tessera’s consumer optics products.” – Eran Steinberg, CEO, FotoNation
Woodside Capital Partners served as the exclusive financial advisor to FotoNation in this transaction.
FotoNation provides computational imaging and computer vision solutions for consumer and enterprise applications. We develop technologies that serve the computational imaging sector for handsets and cameras as well as the automotive, surveillance, security, and augmented reality markets. We were founded in 1997 and are based in San Jose, California. FotoNation is giving life to computational imaging by merging technology with emotion. We use a hybrid software – hardware implementation to enable a rich set of capabilities while performing on-the-fly processing, maintaining low power consumption, assuring flexibility, and achieving the highest performance possible.
About Tessera Technologies, Inc.
Tessera is a leading provider of miniaturization technologies for the electronics industry. Tessera provides a broad range of advanced packaging, interconnect, and consumer optics solutions which are widely adopted in high-growth markets including consumer, computing, communications, medical and defense electronics. Tessera’s customers include the world’s top semiconductor companies such as Intel, Samsung, Texas Instruments, Toshiba, Micron and Infineon. The company’s stock is traded on the Nasdaq National Market under the symbol TSRA. Tessera is headquartered in San Jose, California. For information call 1.408.894.0700 or visit www.tessera.com.
About Woodside Capital Partners
Woodside Capital Partners is a global, independent investment bank that delivers world-class strategic and financial advice to emerging growth companies in the technology and life sciences sectors. With a strong track record in M&A, strategic partnerships and private placements, Woodside Capital Partners has been providing worldwide investment banking services since 2001, with leading domain experience in software, Internet services, electronic communications and materials, and healthcare. Woodside Capital Partners is headquartered in Silicon Valley, with an office in London. Securities offered through Woodside Capital Securities LLC, member FINRA/SIPC. For more information, please visit www.woodsidecap.com.