Aixtron SE announced that the Committee on Foreign Investment in the United States (CFIUS) has approved the sale of its ALD and CVD memory product line to Eugene Technology. CFIUS concluded that the product line sale did not pose any unresolved national security concerns. Aixtron management expects the transaction to close in 2017.
Back in May 2017, Aixtron Inc. the U.S. subsidiary of Aixtron SE announced the proposed sale. Under the terms of the sales agreement, Aixtron Inc. will continue to offer sales and support for its business as well as to pursue its thin film encapsulation (TFE) activities.
Purchase Price to be between $45 Million and $55 Million
According to Aixtron, the purchase price will range between $45 million and $55 million to be paid in cash at closing. The purchase price also includes inventory and other prepaid assets. Aixtron says that due to ongoing business, the value of this inventory and prepaid assets will be determined at the time of closing.
Kim Schindelhauer, CEO, Aixtron SE stated, “As a further step of our strategy to focus on our core technologies we decided to sell our ALD/CVD memory product line to Eugene Technology. We believe that Eugene Technology can enhance the growth potential of these technologies supported by their strong footprint in the silicon semiconductor market and their local presence in Korea.”
Pyung Yong Um, CEO, Eugene Technology Co., Ltd. and Eugene Technology Inc. emphasized the importance of the acquisition. “A Quantum leap of Eugene Technology is expected with the effect of this acquisition by securing an additional R&D center, overseas sales & marketing base in Silicon Valley as well as accumulated technology by Eugene Technology in the area of Semiconductor Deposition Equipment.”