Cepton, a Silicon Valley innovator and leader in high-performance lidar solutions, announced that it has received a non-binding Letter of Intent (“LOI”) for an investment of up to $100 million from its long-term automotive Tier 1 partner and current shareholder, Koito Manufacturing Co., Ltd. (“Koito”) (TSE: 7276). The proceeds from the proposed investment from Koito, in the form of convertible non-voting preferred stock, would fund Cepton’s next stage of growth as it scales its lidar solutions for mass deployment.
Cepton and Koito’s long history of collaboration started in 2017 and resulted in the industry’s largest known ADAS lidar series production award. This investment would mark Koito’s third investment in Cepton since 2020, and is a testament to the success of the collaborations over the past 4 years and a strong commitment by both companies to expanding mass market lidar deployments.
“I am extremely grateful for Koito’s ongoing support as a key strategic investor and technology and manufacturing partner, and am excited to have the opportunity to explore Koito’s proposed investment. From receiving our ADAS series production design win to becoming a publicly traded company, Koito has been with us throughout our journey, and I look forward to achieving many more milestones together in the years to come,” said Dr. Jun Pei, Cepton’s Co-Founder and CEO.
“We are delighted to continue our support of Cepton for the long-term success of both Cepton and Koito as we jointly prepare for the mass deployment of lidar solutions. Cepton has been a valued partner of Koito, as represented by our previous capital investments, and we expect our latest proposed investment to help strengthen Cepton’s financial position and solidify Koito’s commitment in lidar as a crucial component in both automotive and non-automotive applications,” said Mr. Michiaki Kato, Koito’s President.
Consummation of any such investment would be subject to, among other things, negotiation of key transaction terms, entry into definitive agreements, the approval of Cepton’s shareholders and satisfaction of applicable closing conditions.
For more information, please refer to Amendment No. 1 to Koito’s Schedule 13D, which was filed by Koito with the United States Securities and Exchange Commission.