# EDGAR Filing Document

**Accession Number:** 0001584754
**File Stem:** 0001213900-23-000669
**Filing Date:** 2023-1
**Character Count:** 17661
**Document Hash:** 4024bdad972bb00be7abe902b7cd0eb0
**Contains OCR:** False
**Source Format:** 

## Filing Content

## Filing Summary
**0001213900-23-000669.hdr.sgml**: 20230104

**ACCESSION NUMBER**: 0001213900-23-000669

**CONFORMED SUBMISSION TYPE**: 8-K

**PUBLIC DOCUMENT COUNT**: 13

**CONFORMED PERIOD OF REPORT**: 20230101

**ITEM INFORMATION**: Entry into a Material Definitive Agreement

**ITEM INFORMATION**: Creation of a Direct Financial Obligation or an Obligation under an Off-Balance Sheet Arrangement of a Registrant

**ITEM INFORMATION**: Unregistered Sales of Equity Securities

**ITEM INFORMATION**: Regulation FD Disclosure

**ITEM INFORMATION**: Financial Statements and Exhibits

**FILED AS OF DATE**: 20230104

**DATE AS OF CHANGE**: 20230104

**FILER**: 

**COMPANY DATA:**
- **COMPANY CONFORMED NAME:** Akoustis Technologies, Inc.
- **CENTRAL INDEX KEY:** 0001584754
- **STANDARD INDUSTRIAL CLASSIFICATION:** TELEPHONE & TELEGRAPH APPARATUS [3661]
- **IRS NUMBER:** 331229046
- **STATE OF INCORPORATION:** DE
- **FISCAL YEAR END:** 0630

**FILING VALUES:**
- **FORM TYPE:** 8-K
- **SEC ACT:** 1934 Act
- **SEC FILE NUMBER:** 001-38029
- **FILM NUMBER:** 23504331

**BUSINESS ADDRESS:**
- **STREET 1:** 9805 NORTHCROSS CENTER COURT, SUITE A
- **CITY:** HUNTERSVILLE
- **STATE:** NC
- **ZIP:** 28078
- **BUSINESS PHONE:** 7026054086

**MAIL ADDRESS:**
- **STREET 1:** 9805 NORTHCROSS CENTER COURT, SUITE A
- **CITY:** HUNTERSVILLE
- **STATE:** NC
- **ZIP:** 28078

**FORMER COMPANY:**
- **FORMER CONFORMED NAME:** DANLAX, CORP.
- **DATE OF NAME CHANGE:** 20130820

?xml version="1.0" encoding="utf-8"?

**UNITED STATES**

**SECURITIES AND EXCHANGE COMMISSION**

**Washington, D.C. 20549**

**FORM 8-K**

**CURRENT REPORT**

**Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934**

Date of Report (Date of earliest event reported): **January 1, 2023**

**AKOUSTIS TECHNOLOGIES, INC.**

(Exact name of registrant as specified in its charter)

---

| | | |
|:---|:---|:---|
| **Delaware** | **001-38029** | **33-1229046** |
| (State or Other Jurisdiction<br> of Incorporation) | (Commission File Number) | (I.R.S. Employer<br> Identification Number) |

---

**9805 Northcross Center Court, Suite A**

**Huntersville, NC 28078**

(Address of principal executive offices, including zip code)

**704-997-5735**

(Registrant's telephone number, including area code)

**Not Applicable**

(Former name or former address, if changed since last report)

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (see General Instruction A.2. below):

☐ Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

☐ Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

☐ Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

☐ Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

Securities registered pursuant to Section 12(b) of the Act:

---

| | | |
|:---|:---|:---|
| Title of Each Class: | Trading Symbol: | Name of each exchange on which registered: |
| **Common Stock, $0.001 par value** | **AKTS** | **The Nasdaq Stock Market LLC** <br> **(Nasdaq Capital Market)** |

---

Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.b-2 of this chapter)

Emerging Growth Company ☐

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐

**Item 1.01 Entry into a Material Definitive Agreement.** 

On January 1, 2023 (the "Closing Date"), Akoustis Technologies, Inc. (the "Company") and its wholly-owned subsidiary, Akoustis, Inc. (the "Purchaser"), entered into a Stock Purchase Agreement (the "Purchase Agreement") with Grinding & Dicing Services, Inc. ("GDSI") and the stockholders of GDSI (the "Sellers"). Pursuant to the Purchase Agreement, the Purchaser acquired all of the outstanding capital stock of GDSI (such acquisition, the "Transaction").

The total consideration paid to the Sellers at closing of the Transaction consisted of $14.0 million in cash, approximately $2.0 million unregistered shares (the "Closing Shares") of the Company's common stock, par value $0.001 per share ("Common Stock"), and a secured promissory note in the original principal amount of $4.0 million issued by the Purchaser to the Sellers' representative (the "Note"). The Note does not bear interest, is subject to partial prepayment (reduction of the outstanding principal amount down to $1.3 million) on the second anniversary of the Closing Date, and is payable in full on the third anniversary of the Closing Date. The Purchaser can reduce the principal amount of the Note (i) to satisfy certain post-closing adjustments to the Transaction purchase price, (ii) to satisfy the Sellers' indemnification obligations under the Purchase Agreement, and (iii) if GDSI's President is terminated for cause or due to disability or resigns without good reason prior to maturity. The Note is secured by certain of the Purchaser's and GDSI's assets. In the event of certain events of default, including failure to pay amounts due under the Note and certain bankruptcy events, the outstanding principal amount of the Note will become immediately due.

The Purchaser, GDSI and the Sellers have each made certain customary representations, warranties, covenants and agreements in the Purchase Agreement. Additionally, the Purchaser and the Sellers agreed to customary indemnification for breaches of representations, warranties, covenants and agreements, subject to certain limitations set forth in the Purchase Agreement. The Sellers have also agreed to enter into customary non-compete and non-solicitation covenants in connection with the Transaction.

The foregoing description of the Purchase Agreement and the Note does not purport to be complete and is qualified in its entirety by reference to each of the Purchase Agreement and the Note, which the Company will file as exhibits to its Quarterly Report on Form 10-Q for the quarter ended March 31, 2023.

**Item 2.03 Creation of a Direct Financial Obligation or an Obligation under an Off-Balance Sheet Arrangement of a Registrant.**

The disclosure relating to the Note set forth in Item 1.01 above is incorporated into this Item 2.03 by reference.

**Item 3.02 Unregistered Sales of Equity Securities.**

On the Closing Date, the Company entered into an employment agreement with Joseph Collins to continue as President of GDSI (the "Employment Agreement"). Pursuant to the Employment Agreement, the Company will issue up to $2.0 million in unregistered shares of Common Stock (the "Employment Shares") to Mr. Collins. A total of 242,235 Employment Shares were issued on or about the Closing Date and an aggregate of up to 363,353 Employment Shares are issuable during the term of the Employment Agreement.

As described in Item 1.01 above, an aggregate of 605,589 Closing Shares were issued to the Sellers on or about the Closing Date pursuant to the Purchase Agreement.

The issuance of the Closing Shares and the Employment Shares is exempt from the registration requirements of the Securities Act of 1933, as amended, pursuant to Section 4(a)(2) thereof as a transaction by an issuer not involving any public offering.

**Item 7.01 Regulation FD Disclosure.**

A copy of the press release issued by the Company announcing the Transaction is included herewith as Exhibit 99.1 and is incorporated herein by reference.

In connection with the announcement of the Transaction, the Company will host a call on January 4, 2023 at 8:00 a.m. Eastern time. Call details are contained in the press release referenced above.

This information is intended to be furnished under Item 7.01 of Form 8-K and shall not be deemed "filed" for purposes of Section 18 of the Securities Exchange Act of 1934, as amended (the "Exchange Act"), or incorporated by reference in any filing under the Securities Act of 1933, as amended, or the Exchange Act, except as shall be expressly set forth by specific reference in such a filing.

**Item 9.01 Financial Statements and Exhibits.**

---

| | |
|:---|:---|
| **Exhibit Number** | **Description** |
| 99.1 | [Press release issued by the Company on January 4, 2023.](ea171145ex99-1_akoustis.htm) |
| 104 | Cover Page Interactive Data File (embedded within the Inline XBRL document) |

---

**SIGNATURES**

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

---

| | | |
|:---|:---|:---|
|  | **Akoustis Technologies, Inc.** | **Akoustis Technologies, Inc.** |
| Date: January 4, 2023 | By: | /s/ Kenneth E. Boller |
|  | Name: | Kenneth E. Boller |
|  | Title: | Chief Financial Officer |

---

## Exhibit 99.1

**Exhibit 99.1**

**Akoustis Acquires GDSI, a US-Based, Trusted Supplier of Premium Semiconductor Back-End Supply Chain Services**

 

&nbsp;&nbsp;&nbsp;&nbsp;· **Acquisition is Immediately Accretive and Adds High-Margin Premium Services Business Supporting over 250 Customers** 

&nbsp;&nbsp;&nbsp;&nbsp;· **On-Shore Core Competencies include Wafer Grinding and Stealth Dicing to Support Package Reshoring Strategy for Upcoming CHIPS Act Application** 

&nbsp;&nbsp;&nbsp;&nbsp;· **GDSI Delivers In-House Back-End Processing Supply Chain to Support Rapid Prototyping of Akoustis XBAW RF Filter Chips** 

&nbsp;&nbsp;&nbsp;&nbsp;· **Active "Trusted Supplier" Accreditation with the US Department of Defense Supports Akoustis' DARPA Contract R&D Business and National Security** 

&nbsp;&nbsp;&nbsp;&nbsp;· **Management to Host Conference Call with Q&A Today at 8:00 am ET** 

 ****

Charlotte, N.C., January 4, 2023 (GLOBE NEWSWIRE) – Akoustis Technologies, Inc. (NASDAQ: AKTS) ("Akoustis" or the "Company"), an integrated device manufacturer (IDM) of patented bulk acoustic wave (BAW) high-band RF filters for mobile and other wireless applications, announced today that it has acquired Grinding and Dicing Services, Inc. ("GDSI"), a US-based provider of premium back-end semiconductor supply chain services. Akoustis' acquisition of GDSI is expected to support a strategy to reshore its packaging of XBAW filters to the United States and to support its anticipated application for funding under the CHIPS and Science Act.

U.S. Senator Charles Schumer said, "Today's announcement that Akoustis is bringing new job-creating semiconductor technology back to America, and specifically to Upstate New York, is another example of the economic benefits made possible by my CHIPS and Science Act. Akoustis' new capabilities will both enhance and expand the Finger Lakes region's semiconductor industry, which is already home to unique assets in the semiconductor packaging space."

Akoustis will host an investor call to discuss the acquisition of GDSI and provide a business update and outlook, followed by a Q & A session this morning at 8:00 a.m. ET. The call-in numbers are 877-407-3982 (domestic) or +01 201-493-6780 (international). The conference call will be webcast live on the Company's website and will be available for playback at the following URL: https://ir.akoustis.com/ir-calendar.

The rationale for the acquisition and expected benefits include:

&nbsp;&nbsp;&nbsp;&nbsp;· The addition of a diverse, high-margin premium
services business that is immediately accretive to our operating model. The gross margins of this new business unit are projected to be
approximately 60%

&nbsp;&nbsp;&nbsp;&nbsp;· Achievement of $1M in cost savings/avoidance
related to RF filter prototype activity within the next 18 months

&nbsp;&nbsp;&nbsp;&nbsp;· Strategic alignment with Akoustis' strategy
to leverage the CHIPS Act of 2022 to create new jobs as we reshore core packaging capabilities from Asia to an advanced packaging center
located on our Canandaigua campus in upstate New York. Specifically, this acquisition allows the opportunity to scale-up our backend core
competencies including wafer grinding and Stealth Dicing<sup>®</sup> process capabilities supporting our CSP and WLP on-shore package
manufacturing

&nbsp;&nbsp;&nbsp;&nbsp;· It will drive improved rapid prototype and development
cycle time for Akoustis XBAW<sup>®</sup> filters through back-end process integration and supply chain efficiencies

&nbsp;&nbsp;&nbsp;&nbsp;· Integration of onshore front-end and back-end
supply chains supporting national security

&nbsp;&nbsp;&nbsp;&nbsp;· New, synergistic sales channels in the defense
market, including an active "Trusted Supplier" accreditation with the Department of Defense

&nbsp;&nbsp;&nbsp;&nbsp;· The addition of the GDSI management team along
with significant technical talent in wafer grinding and dicing to complement Akoustis' front-end XBAW technology

&nbsp;&nbsp;&nbsp;&nbsp;· The expansion of XBAW<sup>®</sup>RF filter
margins through the internalization of the grinding and dicing process supply chains

Jeff Shealy, founder and CEO of Akoustis, stated, "I am pleased to welcome Joe Collins along with the entire GDSI team to the Akoustis family. We look forward to expanding our internal supply chain capabilities and supporting the growth of GDSI's business with external customers." Mr. Shealy continued, "The acquisition of GDSI will enable Akoustis to speed the development of our leading XBAW<sup>®</sup> filters to take on the rapidly expanding demand for BAW filters that operate at frequencies above 3 GHz."

**Financial Terms**

Akoustis is paying $14 million in cash and $2 million in stock for GDSI, with an additional $4 million in the form of a secured promissory note payable over 3 years based on key employee retention and agreed upon performance, for a total of $20 million. In connection with the transaction, and as an inducement for employment, the company granted to Mr. Collins 242,235 shares of common stock, with an additional 242,235 shares issuable on the second anniversary of the transaction and 121,118 shares issuable on the third anniversary of the transaction, subject to certain employment conditions.

Akoustis continues to experience strong demand and a growing sales funnel for its Wi-Fi, 5G mobile, and 5G infrastructure products, including CBRS XBAW<sup>®</sup> filters, as well as its new XBAW<sup>®</sup> and RFMi resonator and oscillator products. During the last quarter, the Company shipped multiple samples of its new 5G XBAW<sup>®</sup> wafers complete with its new, advanced wafer-level packaging (WLP) technology. Akoustis continues to add new Wi-Fi design wins, many of which are expected to ramp into production in calendar 2023.

Akoustis is actively delivering volume production of its Wi-Fi 6 tandem filter solutions, shipping multiple 5G small cell XBAW<sup>®</sup> filter solutions, and delivering initial designs of its new 5G mobile filter solutions to multiple customers and is now entering the market with its new Wi-Fi 6E coexistence XBAW<sup>®</sup> filter solutions. To date, Akoustis has received more than 20 customer design wins for its patented XBAW<sup>®</sup> filter solutions.

Given the rapidly growing sales funnel activity, as well as ongoing interaction with customers regarding expected ramps in 5G mobile, Wi-Fi 6, and Wi-Fi 6E in calendar 2023, the Company is completing the annual production capacity increase at its New York fab to approximately 0.5 billion filters per year.

**About Akoustis Technologies, Inc.**

Akoustis<sup>®</sup> (http://www.akoustis.com/) is a high-tech BAW RF filter solutions company that is pioneering next-generation materials science and MEMS wafer manufacturing to address the market requirements for improved RF filters - targeting higher bandwidth, higher operating frequencies and higher output power compared to legacy polycrystalline BAW technology. The Company utilizes its proprietary and patented XBAW<sup>®</sup> manufacturing process to produce bulk acoustic wave RF filters for mobile and other wireless markets, which facilitate signal acquisition and accelerate band performance between the antenna and digital back end. Superior performance is driven by the significant advances of poly-crystal, single-crystal and other high purity piezoelectric materials and the resonator-filter process technology which enables optimal trade-offs between critical power, frequency and bandwidth performance specifications.

Akoustis plans to service the fast growing multi-billion-dollar RF filter market using its integrated device manufacturer (IDM) business model. The Company owns and operates a 120,000 sq. ft. ISO-9001:2015 registered commercial wafer-manufacturing facility located in Canandaigua, NY, which includes a class 100 / class 1000 cleanroom facility - tooled for 150-mm diameter wafers - for the design, development, fabrication and packaging of RF filters, MEMS and other semiconductor devices. Akoustis Technologies, Inc. is headquartered in the Piedmont technology corridor near Charlotte, North Carolina.

**Forward-Looking Statements**

**Contact:**

COMPANY:<br> Tom Sepenzis<br> Akoustis Technologies<br> VP of Corporate Development & IR<br> (980) 689-4961<br> tsepenzis@akoustis.com<br>

The Del Mar Consulting Group, Inc.<br> Robert B. Prag, President<br> (858) 794-9500<br> bprag@delmarconsulting.com