Kyocera Executes Share Purchase Agreement with Ushio Inc. for Semiconductor Laser Device Business

Kyocera Corporation (President: Shiro Sakushima; "Kyocera") announced today that it has entered into a share purchase agreement with Ushio Inc. (President and CEO: Takabumi Asahi; "Ushio") regarding Ushio's semiconductor laser device business. Under the agreement, Ushio will establish a new company and transfer its semiconductor laser device business to the new company through an absorption-type company split. Kyocera will then acquire all shares of the new company. The share acquisition is scheduled for April 1, 2027.

■ Background and Purpose
KYOCERA SLD Laser, Inc. ("KSLD") is a U.S.-based subsidiary of Kyocera that operates a semiconductor laser devices business specializing in gallium nitride technology. Currently, KSLD is developing RGB laser diodes for automotive road projection^*, as well as augmented reality glasses and related devices for the metaverse.

RGB laser diodes consist of blue, green, and red light sources. KSLD has deep expertise in blue and green laser diodes using gallium nitride substrates, however it lacks sufficient in-house capabilities to develop red laser diodes based on gallium arsenide substrates. To address this technology gap, Kyocera has explored various opportunities, including collaborations with external companies and strategic partnerships.

Ushio's semiconductor laser device business, which supplies competitive gallium arsenide-based red laser products and technologies, will join the Kyocera Group and reinforce the technological foundation of Kyocera's RGB laser diodes. The integration of Ushio's laser business will accelerate Kyocera's product development across a range of fields, including automotive applications and the metaverse, and advance next-generation imaging and display technologies to create innovative user experiences and bring new benefits for society.

* Automotive road projection refers to a technology that uses a vehicle-mounted light source to project information such as driving directions and warnings onto the road's surface, improving visibility and safety for pedestrians and other vehicles.

■Overview of Ushio Inc.