Amtech Mulls to Sell Solar Biz; Aims to Focus on Profitable Semiconductor Biz

The reason behind selling its solar assets is that significant investment is required to effectively compete in the changing solar industry.

Tempress and SoLayTec Amtech Systems

US-based Amtech Systems has decided to divest it’s solar businesses, including Tempress and SoLayTec subsidiaries, along with an aim to focus solely on growth opportunities in it’s a semiconductor and SiC/LED polishing businesses.

The decision of selling solar assets of the company has been taken by the Amtech Management and Board of Directors.

The reason behind selling its solar assets is that significant investment is required to effectively compete in the changing solar industry.

Commenting on the development, Amtech, Chairman and Chief Executive Officer, J.S. Whang said, “In November 2018 we announced that we had initiated a comprehensive review of our solar businesses. In a February update, we noted thus far our review strongly indicates that our combined Semi and SiC/LED polishing business to provide better markets for enhancing the value of Amtech Group.”

“We have recently completed our assessment and conclude, along with Tempress and SoLayTec management, that significant investment is required to effectively compete in the changing solar industry. We, therefore, conclude Tempress and SoLayTec would be better positioned to capitalize on opportunities in the solar industry under new ownership,” Whang added.

It is expected that this divestiture will offer compelling financial and strategic benefits to the company.

Moreover, the company’s board felt that the strategic streamlining positions the company to invest in the three semiconductor value chains in which it operates i.e. chip substrate, chip fabrication, and chip packaging and SMT.

The Board of the company also felt that this decision will build upon Amtech’s strengths in chip packaging and SMT.

As per the company, divestment, further its position as a market leader in the fast-growing, high-end power chip market (SiC and 300mm Si HTR).

Meanwhile, it is also expected that divestment will enhance the company’s cash flow and earnings growth profile, and capture high value for its investments.

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Manu Tayal

Manu Tayal

Manu is an Associate Editor at Saur Energy International where she writes and edits clean & green energy news, featured articles and interview industry veterans with a special focus on solar, wind and financial segments.

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