EDISON INNOVATION FUND INVESTMENT TO ASSIST NEW JERSEY TECHNOLOGY BUSINESS
TRENTON, N.J. (May 16, 2007) – The New Jersey Economic Development Authority (EDA) has approved a $1 million investment through the Edison Innovation Fund to assist in the expansion and growth of VELOX Semiconductor Corporation, a Franklin Township-based company that excels in high-volume, cost-effective manufacturing of Gallium Nitride transistors and diodes. The Edison Innovation Fund, a key element of Governor Corzine’s Economic Growth Strategy, was created to support technology and life sciences companies throughout their discovery, development and commercialization stages.
“Growing jobs and supporting economic growth in the technology and life sciences industries are the cornerstones of Governor Corzine’s focus on enhancing New Jersey’s innovation economy,” said EDA Chief Executive Office Caren Franzini. “This investment represents the EDA’s commitment to nurturing the growth of these businesses as we work towards creating a more vibrant state economy.”
The EDA, in consultation with the New Jersey Commission on Higher Education and the New Jersey Commission on Science and Technology, is responsible for managing the $150-million Edison Innovation Fund, which will leverage $350 million in private capital and increase access to early-stage capital and provide specialized assistance to existing mid-sized and large technology and life sciences businesses.
“Investing in VELOX is just one example of how the Edison Innovation Fund works to enhance New Jersey’s strong record of innovation and ensure that our technology and life sciences businesses are able to compete in the global, high-tech economy,” said Kathleen Coviello, EDA’s program manager for science and technology.
“The Edison Innovation Fund loan combined with the matching funding from our investors will allow Velox to accelerate the rollout of our GaN based diode and transistor products. Customer demand has been very high based on our initial samples,” said Thomas Hierl, President of Velox Semiconductor.
VELOX Semiconductor Corporation is a spin-off of EMCORE Corporation, a leader in the manufacturing of optoelectric components and solar cells. VELOX was formed to develop and commercialize Gallium Nitride semiconductors that address problems of size and efficiency in the power supply industry. The $1 million in financing was made for five years at a fixed interest rate of 4 percent, and will help support the completion of device qualification, the initial pilot production and employee salaries. As a result of the investment, the company will build on its current workforce of 15 and create approximately 35 new jobs over the next two years.
The EDA is an independent, self-sustaining state financing and development agency that works to promote economic growth, job creation and the revitalization of New Jersey’s communities with financing assistance, technical support and entrepreneurial training, and real estate development activities.
For more information on the Edison Innovation Fund, visit www.edisoninnovationfund.com. To learn more about opportunities for business growth throughout New Jersey, visit the state’s business portal at www.nj.gov/njbusiness.
About Velox Semiconductor
Velox’s mission is to provide reliable, cost effective GaN devices to the power supply industry enabling its customers to reduce cost, size and improve efficiency of their systems. It is a privately owned company located in Somerset, NJ. More information from www.veloxsemi.com.