To expand its ability to provide electronic packaging alternatives including liquid crystal polymer (LCP) technology, leading Japanese chemical manufacturer Sumitomo Chemical Company Limited is taking a 20% equity stake in Wilmington, Mass.-based Quantum Leap Packaging Inc.
Quantum designs and manufactures electronic component packaging utilizing proprietary Quantech LCP compounds. Sumitomo will obtain a 20% interest in Quantum through a $20 million purchase of newly issued shares of privately-held stock.
This move fits with Sumitomo IT Related Chemical Sector's business initiative to expand its interests in LCP technology due to growing industry demand for high quality electronic packaging alternatives.
Through the transaction Sumitomo expects to reduce its R&D cycles and obtain immediate access to the burgeoning market for LCP packaging technologies. Terms of the agreement include Sumitomo working closely with Quantum to further develop the market for LCP packaging technologies, primarily in Japan and Korea, under a non-exclusive distributorship right to be granted by Quantum.
Commenting on Sumitomo's investment, Jim LaCasse, CEO of Quantum, said in a statement, "Their interest and investment in Quantum Leap Packaging further validates our technology and strengthens our position in the global market, allowing us to focus on further innovations in next generation packaging solutions."
Quantum was established in December 2002 to develop high performance component packaging and substrates based on high molecular weight polymers and LCP technology.
Utilizing its patented technology, Quantum developed LCP-compounded resin, a material now branded as Quantech that allows isotopic properties, extremely high temperature stability, and tailorable coefficient of thermal expansion for superior thermal and electrical performance.
The company believes these features match, or in some instances exceed, the performance levels of incumbent ceramic materials while offering a lower cost of ownership through reduced assembly costs and faster throughput.
