USI and Merry Form Joint Venture Targeting Audio Module Market

SHANGHAI,July 30,2020 -- Universal Global Scientific Industrial Co.,Ltd.,a wholly-owned subsidiary of Universal Scientific Industrial (Shanghai) Co.,Ltd. (USI,SSE: 601231),and Merry Electronics Co.,Ltd. (Merry,TWSE: 2439),a world-renowned electro-acoustic leader,announced today that the companies have entered into an agreement to form a joint venture company (JVCo). USI will control 49% of the new venture,with Merry holding 51%.

USI has been continuously innovating and developing manufacturing solutions for the miniaturization module market,and its efforts over the years have enabled the company to gain a leading position in miniaturization technology. Merry is a major provider of electro-acoustic product design and manufacturing,focusing on communication,audio-visual entertainment to smart life product applications for international brand customers. Merry supports customers from product development to design and manufacture,and provides professional services from precision component sourcing to assembly of the finished products. The joint venture will combine the expertise of both companies to target the audio module product market by providing customers with the best audio module solutions,including performance verification,software and hardware design. The joint venture will also boost development of audio modules as the preferred solution for wearable electro-acoustic products and consequently open up more market opportunities.

The JVCo will form independent R&D and sales teams to focus on audio module design,marketing and customer development. Both Merry and USI will also collaborate closely with each other to maximize synergy along the industry chain and strengthen its leading position in the electro-acoustic market.

"USI has been a leading provider of miniaturized module technology for consumer electronics communications and wearable products. Our joint venture partner,Merry,has been focused on the electro-acoustic field for more than 40 years and is well established in product design,precision component and system assembly capabilities. The joint venture with Merry will help USI to increase business opportunities in audio-related markets,provide more value-add and bring in new customers. The objectives of the JVCo are also in full alignment with the development strategies of both companies. USI believes that the strong combination of technology and industry partnership through the joint venture will inject new momentum into the development of the electro-acoustic industry," said JP Shi,Senior Vice President and Secretary of Board of USI.

About USI

USI (SSE: 601231),Universal Scientific Industrial (Shanghai) Co.,provides design,miniaturization,material sourcing,manufacturing,logistics,and after services of electronic devices/modules for brand owners. USI is a member of ASE Technology Holding (TWSE: 3711,NYSE: ASX) and has many years of experience in the electronics manufacturing services industry and leverages the industry-leading technology of ASE Group,which enables USI to offer customer diversified products in the sectors of wireless communication,computer and storage,consumer,industrial,and automotive electronics worldwide. USI has a sales service network in America,Europe,and Asia; and manufacturing sites in Mainland China,Taiwan,Mexico and Poland. To learn more,visit www.usiglobal.comand engage with us onLinkedInandYouTube.