PRESS RELEASE

Zwolle, 3 March 2016

RoodMicrotec has made arrangements with automotive and industrial partners for new sales in the range of EUR 8 million to EUR 12 million over a period of 8 years. The high-tech automotive and industrial products will generate a booming growth acceleration. The engineering phase will start in April 2016. As a result of these new arrangements, turnover will increase as of 2020 by EUR 1.5 million to EUR 2.5 million per year.

This expected sales increase is in addition to the long-term contracts published in 2015 of which the pilot production is expected to kick off from the second half of 2016 and ramp up through 2018. As a result of these new arrangements and the published contracts in 2015, Roodmicrotec expects that turnover will increase substantially in the coming years. We expect that in 2020 our turnover will  approximately be 75% higher compared to the total turnover of over EUR 10 million in 2015. A further increase is expected during the years after 2020.

In order to fulfill this growth acceleration, the company will invest in the newest generation of equipment. RoodMicrotec is pleased to announce that a group of international investors have committed to provide an amount of up to EUR 1.5 million to enable the required investments.  

The investments will mainly be made in advanced test equipment in order to handle more complex high performance devices. The initial machines that have been ordered are an additional V93k mixed signal test system and a 12" wafer prober. Later in 2016 and 2017 other investments will follow, which will be financed from a combination of this € 1.5 million commitment and the operational cash flows. These investments will enable us to generate further additional revenue on top of the long-term contracts and the above-mentioned arrangements.

'With the new equipment we will become a higher level as service provider to fabless companies and OEMs. Step by step we are establishing a strong position in our focus markets. We are very proud to be able to say that in the next 5 years we are expecting to increase our revenue by 75%', say Philip Nijenhuis, CEO, Martin Sallenhag, CTO and Reinhard Pusch, CSO.

Financing
A group of international investors will provide the financing to the company. RoodMicrotec's management will participate in the loan to show their confidence in the company's plans. The total financing of EUR 1.5 million is built up as follows:
-    A loan of EUR 750,000: EUR 500,000 with mortgage cover and EUR 250,000 right of pledge on equipment. The total duration of the loan is 48 months with a monthly payable interest of 0.4% on the outstanding gross amount. The loan will be redeemed in 4 installments in March of each year (2017 10%, 2018 20%, 2019 30%, 2020 40%). The issue price will be at 90%.

-    A standby equity facility of maximum EUR 750,000: in 8 monthly tranches starting between August 2016, ending in July 2017. For this purpose on 3 March 2016 an agreement was signed with qualified investors to issue shares in monthly tranches of EUR 93,750. It is at the discretion of RoodMicrotec to draw down the equity line, which means that by the end of July 2017 between EUR 0 and EUR 750,000 of the equity line will have been drawn down.
The issue will be effected at a price determined based on the lowest five day share prices in the month preceding the issue, taking into account a 3% discount per tranche. RoodMicrotec will not provide pledges nor guarantees for this equity facility.

The shareholders' meeting of 25 April 2013 granted the board of management authority to issue shares for a period of five years up to an amount of € 2.5 million per year. In view of the character of the share issue, no prospectus will be published.

The remainder of the existing equity facility, which was concluded on 2 July 2015, is EUR 400,000 and will be drawn down in 2 tranches in March 2016 and April 2016.

Warrant issue for current shareholders and aforesaid investors
As the company reached a new milestone, RoodMicrotec wishes to grant its existing shareholders and option holders as of 31 March 2016, 5:40 pm, one (1) warrant per twenty (20) shares/ option rights. The aforesaid investors will be granted 2,500,000 warrants which have the same conditions. This will give them a chance to further invest in the future of RoodMicrotec.

The warrant's exercise price will be EUR 0.21 and the warrants can be exercised up to and including 31 December 2018. In total approximately 5,500,000 warrants will be issued on Euronext Amsterdam.

Further arrangements concerning the allocation of warrants and their exercise will be set out in the warrant arrangement which is expected to be placed on RoodMicrotec's website (www.roodmicrotec.com) in the coming month.

Financial agenda 2016

Forward-looking statements
This press release contains a number of forward-looking statements. These statements are based on current expectations, estimates and prognoses of the board of management and on the information currently available to the company. The statements are subject to certain risks and uncertainties which are hard to evaluate, such as the general economic conditions, interest rates, exchange rates and amendments to statutory laws and regulations. The board of management of RoodMicrotec cannot guarantee that its expectations will materialise. Furthermore, RoodMicrotec does not accept any obligation to update the statements made in this press release.

About RoodMicrotec
With more than 45 years' experience as an independent value-added service provider in the area of micro and optoelectronics, RoodMicrotec offers Fabless Companies, OEMs and other companies a one-stop shop proposition. With its powerful solutions RoodMicrotec has built up a strong position in Europe.

Our services comply with the industrial and quality requirements of the high reliability/space, automotive, telecommunications, medical, IT and electronics sectors.
Certified by RoodMicrotec concerns inter alia certification of products to the stringent ISO/TS 16949 standard that applies to suppliers to the automotive industry. The company also has an accredited laboratory for test activities and calibration to the ISO/IEC 17025 standard.
Its value-added services include failure & technology analysis, qualification & burn-in, test & product engineering, production test (including device programming and end-of-line service), ESD/ESDFOS assessment & training, quality & reliability consulting, supply chain management and total manufacturing solutions with partners.

RoodMicrotec has branches in Germany (Dresden, Nördlingen, Stuttgart), United Kingdom (Bath) and the Netherlands (Zwolle).

Further information:
Philip Nijenhuis, CEO, Reinhard Pusch, COO/CSO, Martin Sallenhag, CTO, Erwin Vrielink, CFO
Telephone: +31 38 4215216
Postal address:
RoodMicrotec N.V., PO Box 1042, 8001 BA  Zwolle
Email:         investor-relations@roodmicrotec.com
Web:              www.roodmicrotec.com