 |
 |
Date Announced: 17 Dec 2013
Growth in Demand for Lenses Leads to Expansion in China and Formation of LightPath Optical Instrumentation (Zhenjiang) Co. Ltd.
ORLANDO, FL -- December 17, 2013 -- LightPath Technologies, Inc. (“LightPath,” the “Company” or “we”) (NASDAQ: LPTH), a global manufacturer, distributor and integrator of proprietary optical components and high-level assemblies, announced today the formation of a new wholly-owned subsidiary, LightPath Optical Instrumentation (Zhenjiang) Co., Ltd. (“LOIZ”), located in Zhenjiang, which is in the Jiangsu province of China.
LOIZ is LightPath’s second operating entity in China. The Company currently occupies a 22,000 square foot facility in Orlando, Florida. LightPath Optical Instrumentation (Shanghai) Co., Ltd. occupies a 17,000 square foot facility in Shanghai, China. LOIZ will occupy a 26,000 square foot facility in Zhenjiang, China. LOIZ’s facility will triple the Company’s combined global lens production capacity.
Commenting on the Company’s expansion, LightPath Chief Executive Officer Jim Gaynor said, “Demand for our aspheric lenses has accelerated in both our North American and Asian sales regions. The Company’s lens unit volume production increased by approximately 50% in fiscal 2013 as compared to fiscal 2012."
"Our backlog as of September 30, 2013 had grown to $4.42 million. A primary catalyst driving this increased demand is the Company’s proprietary technology and manufacturing processes which have lowered the cost of lenses we provide to our customers."
"As a result, there has been a paradigm shift in demand creation among end users in markets such as laser tools, telecommunications, digital projectors, industrial equipment and medical instruments.”
Mr. Gaynor continued, “We recently completed very favorable negotiations with the Economic Development Committee of Zhenjiang Science & Technology New City to form our new wholly-owned subsidiary, LOIZ, and open its manufacturing facility in Zhenjiang.
We would like to thank the officials in the city of Zhenjiang and other Chinese agencies which led to the selection of this city for the location of LOIZ’s manufacturing facility and our expansion into a second Chinese city. LOIZ’s new location provides us access to excellent infrastructure, high speed rail service, a well-educated technical work force, and proximity to the highly acclaimed Optical College at the University of Zhenjiang.”
Mr. Gaynor concluded, “The low rental rates and wages in Zhenjiang will give us a solid platform to continue growing our high-volume business for precision molded optics. Work is underway to build out the factory and production is planned to start during the first half of 2014.
We estimate our manufacturing costs could be up to 40% lower at this new facility once we are at full production levels. The new plant will be focused on manufacturing, with administrative functions, engineering and sales supported from our operations in Shanghai and Orlando.”
Source: LightPath Technologies
E-mail: via web site
Web Site: www.lightpath.com
| © 2024 SPIE Europe |
|
