Sagitta Raises $5 Million in a New Round of Investment

( August 20, 2000 )

Sagitta Engineering Solutions Ltd. has raised $5 Million at a pre-money valuation for the company of $22 Million. Investors in this round include Tamir Fishman Ventures, who acted as the lead investor, and JDS Uniphase, one of the world's largest fiber optics component manufacturers.

Founded in 1997, Sagitta develops, manufactures and distributes products in the area of automation and inspection systems for semiconductors and fiber optics components. Sagitta has recently completed the development of a product line that includes automated machines that enable advanced sample preparation and inspection systems targeted for semiconductor yield enhancement. These machines are being sold to leading semiconductor manufacturers such IBM, Texas Instruments, Motorola and Philips.

Sagitta has recently launched a Fiberoptics Equipment Group and begun developing a new product line that is designed to enhance the efficiency of the manufacturing process of fiber optics network components. The new FT-100 product line will utilize the unique technology developed in the company that combines inspection and polishing units (at sub micron levels) with electro-optical sensors in a manner that will enable automatic and precise assembly and inspection of fiber optics components. The automation of the manufacturing process using Sagitta's technology will significantly increase the yield of fiber optics components production lines and decrease overall production costs.

Ori Sarfaty, CEO of Sagitta, stated that "most fiber optics components manufacturing today is done manually - a factor which limits the speed of manufacturing and decreases yields. Offering machines that enable automatic, precise and "clean" manufacturing of these components meets an obvious need of all fiber optics component vendors in a market in which demand for these components continues to increase dramatically. We believe that the technology being developed by Sagitta offers an excellent solution that will allow these vendors to automate their production lines and significantly increase their production yields."

JDS Uniphase, one of the world's largest fiber optics components vendors with a market cap of over $90 Billion, invested in Sagitta as its first investment in an Israeli hi-tech company.

Ryan Floyd, who recently left JDS Uniphase to start Storm Ventures, said that "the obvious need of fiber optics component vendors for the precise and flawless production of fiber optics components is known to us first hand, and we believe that Sagitta will be able to answer this need in an efficient manner. In my opinion, our investment in Sagitta along with Tamir Fishman Ventures will be very helpful to the company in terms of developing its business worldwide in this new market."

About Sagitta Engineering Solutions Ltd.

Sagitta develops, manufactures, and distributes solutions for semiconductor failure analysis and yield enhancement laboratories. Utilizing advanced image processing techniques and precise motion control systems, Sagitta's products offer the unique capability of automatically and accurately polishing wafer samples to a point.

As a result, users of Sagitta's solutions can significantly reduce sample preparation time, thereby accelerating the process of identifying malfunctions and dramatically increasing yields.

Sagitta's products are based on proprietary, patented, core technologies that allow superb process control. Incorporating unique designs in mechanics and optics along with dedicated control algorithms, these products combine state-of-the-art opto-electronics and advanced imaging algorithms to monitor the sample preparation process with unmatched accuracy.

Sagitta began its activities in the semiconductor market in 1997. Corporate headquarters are located in Israel, considered a center of excellence for the development of semiconductor production and inspection equipment. Sagitta's fully owned subsidiary, Sagitta USA Inc., was formed in order to meet the increasing demand for Sagitta's sample preparation solutions in North America, and is headed by Mr. Tony Ruffini, who has over 20 years of experience in the semiconductor industry.