Amtech Systems, Inc., a manufacturer of capital equipment, including thermal processing and wafer handling automation, and related consumables used in fabricating semiconductor devices, light-emitting diodes (LEDs), silicon carbide (SiC) and silicon power chips and solar cells, announced that following an extensive review of its businesses, Amtech management and Board of Directors have decided to focus solely on growth opportunities in the Company's semiconductor and SiC/LED polishing businesses and intend to sell the Company's solar businesses, including its Tempress and SoLayTec subsidiaries.
Amtech's J.S. Whang, Chairman and Chief Executive Officer, commented, "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 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."
Compelling Financial and Strategic Growth Benefits
The expected divestiture of Amtech's solar businesses offers compelling financial and strategic benefits. The strategic streamlining positions Amtech to:
- Invest in the three semiconductor value chains in which it operates: chip substrate, chip fabrication, and chip packaging and SMT,
- Build upon our strengths in chip packaging and SMT,
- Further our position as a market leader in the fast-growing, high-end power chip market (SiC and 300mm Si HTR),
- Stop solar losses and enhance the Company's cash flow and earnings growth profile, and
- Capture high value for our investments.
Michael Whang, Chief Operating Officer, added, "With renewed excitement, we now look to dedicate our resources to our semiconductor and silicon carbide businesses. We see significant opportunity to build upon our strengths as we seek to more fully participate in the fast-growing advanced power chip opportunities ahead of us.
“We believe this strategic shift transitions Amtech to a business model that can deliver more reliable profitability in both the near and longer term."