Kopin Corporation (NASDAQ: KOPN), a provider of microdisplays and optical systems, announced a $15 million strategic investment from Theon International Plc (Euronext Amsterdam: THEON), a global developer of thermal imaging and night vision products. The deal aims to accelerate innovation and expand Kopin’s presence in defense markets worldwide.
Theon will invest $8 million in Kopin’s Scottish subsidiary, Kopin Europe, acquiring a 49% equity stake. This funding supports joint product development for Europe, Southeast Asia, and NATO countries. Both firms plan to collaborate on development and production at Kopin’s facility in Reston, Virginia, which will become Theon USA’s new industrial site.
Additionally, Theon will purchase $7 million in preferred shares from Kopin. These shares carry a 4% annual dividend and are convertible into common stock at $3.00 per share. Kopin can force conversion if its stock trades above $4.50 for 10 days within a 30-day period. The investment is subject to regulatory approvals and is expected to close in Kopin’s fiscal third quarter.
Christian Hadjininas, CEO of Theon, said the partnership will strengthen both companies’ market positions. “Our augmented reality product line will drive co-development with Kopin. This alliance boosts Theon’s US presence and Kopin’s global reach, creating a strong US-European defense partnership.”
Michael Murray, Kopin’s CEO, called the investment a key milestone. “Theon’s support validates our strategy and will accelerate growth in new markets. Partnering with a world-class company like Theon comes as global defense spending rises and Kopin evolves.”
The partnership is expected to enhance Kopin’s role as a global leader in microdisplays and optical defense technologies, expanding its reach among allied forces.
Stifel serves as Kopin’s exclusive financial advisor and placement agent.
