Shellcase Completes $19.4 Million Fundraising Round

JERUSALEM--Sept. 6, 2005--Shellcase Ltd., a leading provider of wafer-level electronic product miniaturization technologies, today announced that it has concluded a fundraising round totaling $19.4 million. The investment round was initiated by GlenRock Israel, a private equity company headed by Leon Recanati, and included investments from the Infinity Venture Capital Fund, entities affiliated with Shrem Fudim Kelner Technologies (SFKT) including the Korea Global IT Fund (KGIF) and Platinum Neurone Ventures (PNV), and China Singapore Venture Capital.

The funds will be used to expand Shellcase's sales, marketing and development activities for wafer packaging solutions, according to Shalom Daskal, Shellcase CEO.

"This investment has enabled a significant change in the Shellcase business model, from a model of providing contract manufacturing to one of technology licensing and IP development," said Amir Gal-Or, Managing Director of Infinity. "This model makes the most sense for Israeli companies, and Shellcase's new focus has already borne fruit through its strategic manufacturing partnership in China."

"The combination of the investment from Israeli and Asian investors, the company's IP-based business model and Shalom's track record will enable Shellcase to reach new heights and continue its leadership in WLCSP," said Nitsan Yanovski, Managing Partner of SFKT and KGIF.

Shellcase pioneered wafer-level chip size packaging, which provides contamination-free packaged die with the same dimensions of the original chip ("true die size"). The company's platforms enable significant savings in board space and overall assembly costs for manufacturers of a large variety of semiconductor devices, including complementary metal oxide semiconductor (CMOS) and charge-coupled device (CCD) area array and linear sensors, photodiodes, and various types of RF-MEMS and mixed signal devices.

The company estimates that its chip size packaging solutions are utilized in over 30% of the installed base of camera phone handsets worldwide.

"Shellcase has a phenomenal technology, a loyal customer base, and strong intellectual property," said Daskal. "The investment will allow the company to bolster its already-strong position in the camera phone market and to focus on developing the next generation of miniaturization technologies and IP for optical devices."

About Shellcase Ltd.

Shellcase is a leading global supplier of wafer-level electronic product miniaturization technologies for the growing digital imaging and data telecommunications markets. Shellcase's patented wafer-level chip size packaging (WLCSP) technology enables packaging solutions that are miniature, reliable and low cost, thereby exponentially increasing board capacity and functionality for the next generation of smaller, more advanced electronics devices. The Company licenses its advanced WLCSP technologies - ShellOP(TM), ShellOC(TM), ShellUT(TM) and ShellCF(TM) - to IC manufacturers and module makers worldwide. In addition, Shellcase provides co-design and wafer-level packaging services. Founded in 1994, the Company is headquartered in Jerusalem, Israel, with manufacturing capabilities in Taiwan, China, Japan and Israel. For more information, please visit www.shellcase.com.