Applied Magnetics And DAS Devices To Merge

Representatives of Applied Magnetics Corp. (Goleta, CA), and DAS Devices Inc. announced on Nov. 25, 1998, that both companies' boards of directors have approved the terms of a merger between the two firms.

The merger should help the companies accelerate their time-to-market performance and enhance the production readiness of their giant magneto-resistive technology. At aerial densities up to 5 gigabits per in², these devices are capable of recording 6.4 gigabytes on each 3.5-in. disk. Prototype units for giant magneto-resistive products targeting both 6.4 and 8.5 gigabytes per 3.5-in. disk are immediately available for customer evaluation.

The hard-disk drive industry in recent years has experienced an increase in the rate of new product introductions and a corresponding decrease in product-life cycles. As a result, the recording head industry is making a rapid transition to GMR-based technology in 1999. The merger should help the companies compete effectively with other head companies in this fast-paced market.

"The combination of these two companies creates a unique synergy that will combine DAS Devices' proprietary and patented state-of-the-art wafer technology with Applied Magnetics' high-volume manufacturing capability," says Craig Crisman, CEO of Applied Magnetics.

To complete the merger, Applied Magnetics will purchase DAS, with the stockholders of DAS receiving approximately 13 million registered shares of Applied Magnetics common stock.

For more information, call 805-683-5353.