A group of Chinese investors has agreed to buy Aixtron SE, a German supplier of semiconductor equipment, for about 670 million euros (US$752 million), giving the manufacturer a chance to boost sales by expanding in Asia.
The deal values Aixtron at 6 euros per share, the equipment maker said in a statement yesterday. That is 25 percent more than the closing price of 4.79 euros on Friday last week in German trading.
The offer is being made through a unit of Fujian Grand Chip Investment Fund (中國福建芯片投資基金), which is 51 percent owned by Chinese businessman Zhendong Liu (劉振東), Aixtron said.
The purchase might allow Aixtron access to the Chinese market and funds to further develop its product portfolio, after losing its largest customer last year.
Aixtron’s shares plunged as much as 43 percent on Dec. 10 last year after the company said Chinese client Sanan Optoelectronics Co (三安光電) canceled orders, forcing Aixtron to reduce its sales outlook.
Semiconductor companies have been combining as they face rising production costs and a shrinking customer list. In the industry’s biggest deal in the past year, Avago Technologies Ltd agreed to buy Broadcom Corp in a cash-and-stock offer valued at US$37 billion when it was announced in May last year.
Aixtron shares yesterday morning advanced 17 percent to 5.60 euros in Frankfurt.
Aixtron might attract other bidders because of its focus on promising new applications and technologies, analysts at Kepler Cheuvreux said in a note. In such a scenario, the price might end up being as high as 9 euros per share, they said.
Aixtron had been working with longtime financial adviser JPMorgan Chase & Co to find potential buyers amid more difficult conditions for chipmakers, people familiar with the matter said in March.
Fujian Grand plans to support Aixtron’s strategy going forward and keep its headquarters location and chief executive officer in place, according to the statement.
The remainder of Fujian Grand is owned by an investment vehicle controlled by private investors Wang Zhongyao and Huang Wanming, Aixtron said. The takeover offer has a minimum acceptance rate of 60 percent of Aixtron shares.
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