NightFood Buys CoWoS AOI Technology for 150,000 Preferred Shares, Targets Q4 Shipments

summarizeSummary

NightFood acquired CoWoS AOI inspection technology from Taiwan's Jun Long for 150,000 convertible preferred shares plus up to 50,000 more on revenue milestones, and says it targets $1.5M-$2.25M in monthly sales starting late 2026.

check_boxKey Events · M&A and Partnerships · NGTF

• CoWoS AOI Technology Acquired

  Closed October 19, 2026 with Jun Long Machine Industrial Co., Ltd. of Taichung, Taiwan; NightFood bought worldwide rights to designs, know-how and IP for AOI machines used in chip-on-wafer-on-substrate advanced packaging, excluding Jun Long's other wafer sorting technology and software.

• Preferred Shares as Sole Consideration

  150,000 Series C Preferred shares issued at closing, convertible into 6,000,000 common shares after the 1-for-150 reverse split, plus up to 50,000 more preferred (2,000,000 common) if cumulative Qualifying Revenue reaches $10M and then $20M. No cash changed hands.

• Management Sales Targets

  Company targets 10-15 units per month at roughly $150,000 average selling price, or about $1.5M-$2.25M in monthly sales, ramping toward 30 units a month. These are operating targets, not confirmed orders.

• First Shipments Late 2026

  Initial sales and shipments targeted for late November or early December 2026, contingent on a planned 20,000-square-foot Taiwan manufacturing facility opening within a month, production readiness and customer orders.

auto_awesomeAnalysis · NGTF · Technology

No cash changed hands: NightFood issued 150,000 Series C Preferred shares—convertible into 6,000,000 common shares after the 1-for-150 reverse split—for Jun Long's CoWoS automated optical inspection technology, with up to 50,000 more preferred shares (2,000,000 common) tied to $10M and $20M cumulative revenue milestones. What matters is the commercialization claim attached: management targets 10-15 units a month at roughly $150,000 each, or $1.5M-$2.25M in monthly sales, with first shipments in late November or early December 2026. That is a large promise for a company that just reported an $84.7M net loss and a going concern warning, and it rests on a facility that does not yet exist and orders that have not been placed. On top of an already distressed capital structure, the preferred conversion adds meaningful potential dilution.