Pixelworks up on equity investment in Shanghai unit

Pixelworks

28/12/2022 15:44

** Shares of Pixelworks Inc  PXLW.O  up 9% at $1.58
    ** Co's majority owned unit, Pixelworks Semiconductor
Technology (Shanghai) Co., Ltd. (PWSH), entered into a deal 
with China-based group of private equity investors, along with
entities owned by PWSH employees, under which committed
investments will be made in exchange for equity interest in PWSH
        ** Non-employee investors will have 2.76% equity
interest in PWSH after the deal closes, reflecting a pre-money
valuation of about $501.4 mln
    ** Employee entities to have 0.54% stake in PWSH, reflecting
pre-money valuation of about $250.7 mln
    ** PXLW to continue to hold about 78.2% equity interest in
PWSH
    ** PXLW's stock down 64.2% so far this year
 (Reporting by Khushi Singh)
 ((Khushi.Singh@thomsonreuters.com;))