Joint Press Release: Melexis And Transense Sign ASIC Licence

Transense Technologies plc ("Transense") announces it has signed an exclusive licence agreement with Melexis Microelectronic Integrated Systems NV ("Melexis"), a company incorporated and listed in Belgium (Euronext Brussels: MELE). This agreement with Melexis replaces the previous agreement with Atmel Grenoble. Under the agreement, Melexis will manufacture a radio frequency Application Specific Integrated Circuit ("ASIC") incorporating Transense's innovative Surface Acoustic Wave ("SAW") interrogation technology for use in torque measurement and tyre pressure and temperature monitoring. Under the terms of this licence agreement Transense will receive a royalty on all ASICs sold incorporating its patented SAW technology.

Melexis has a high reputation as a supplier of advanced integrated semiconductors and sensor Integrated Circuits ("ICs") that meet the stringent requirements of the automotive industry. All leading car manufacturers have Melexis products designed into their critical systems working with exceptional reliability under the extreme conditions required for the automotive environment. They include automotive microcontrollers, Hall (magnetic) sensor ICs, bus ICs, interface ICs for pressure and acceleration sensors, integrated silicon pressure sensor chips, ASICs, RF and RFID ICs.

Commenting James Perry, Chief Executive, of Transense said:
"I am delighted that Melexis has entered into a licence agreement for Transense's SAW technology. This is an important step forward. It enables Transense to maximise value from its technology now that it has licence arrangements in place which cover all the key components necessary to deliver the most cost-effective volume production of complete SAW sensor systems.

We have been working closely with Melexis for many months on this new IC solution, which will replace the more costly, discrete components currently used in our prototype non-contact electric power assisted steering ("EPAS") and battery-less tyre pressure monitoring ("TPM") systems. The ASIC will enable automotive industry product cost targets to be met."

Rudi de Winter, Chief Executive of Melexis, said last night:
"Transense's SAW sensor technology fits perfectly with our RF design competence and our focus on automotive sensors.

Melexis is committed to make the SAW sensor technology a success as it will further grow its strong position in TPM and EPAS systems. Furthermore this technology has the potential to improve comfort, safety and fuel efficiency with several other automotive wireless sensing applications."