AXT Subsidiary Enters ~$25.4M Supply Agreement for Indium Phosphide Wafers

AXT's subsidiary, Beijing Tongmei Xtal Technology Co., Ltd. ("Tongmei"), has entered into a long-term supply agreement with Nanjing Casela Technologies Corporation, Ltd. ("Casela") for indium phosphide (InP) wafer substrates. The agreement secures a binding purchase commitment from Casela for the 2027 calendar year.

Key Details

• Agreement Value: Casela has committed to purchase a fixed quantity of InP substrates for a total price of RMB 173 million (approximately $25.4 million).
• Timeline & Commitment: The supply period runs from January 1, 2027, through December 31, 2027. Casela must purchase at least 80% of the committed quantity to avoid a cancellation fee.
• Payment Terms: Casela is required to make a 50% prepayment within 15 business days of the agreement's signing on June 11, 2026, with the remaining 50% due by December 31, 2026.