Samsung, Intel, and TSMC Buy 23% Stake In ASML For 3.85 Billion Euros


ASML is a publicly listed Dutch company that makes lithography systems for the semiconductor industry. Samsung has acquired 3% of the company for 503 million Euros ($629 million). Samsung will contribute 276 million Euros ($345 million) to ASML’s R&D of lithography technologies over the next 5 years as well. This is a total of $974 million in total, which is almost the same amount of money that the company has been charged to pay Apple.

ASML designs and develops advanced systems that are used by Intel, Samsung, and other semiconductor manufacturing companies.

Intel, Taiwan Semiconductor Manufacturing Company (TSMC), and Samsung are each acquiring ASML shares, which is equal to a 23% minority equity stake for 3.85 billion Euros.  The entire cash proceeds of the share issuance will be returned to ASML shareholders through a synthetic buy-back.

Below is an excerpt from ASML’s press release:

As part of the program, Intel, TSMC and Samsung will each acquire ASML shares, equal to an aggregate 23 percent minority equity stake in ASML for EUR 3.85 billion in cash.

The entire cash proceeds of the share issuance will be returned to ASML shareholders (not including participating customers) through a synthetic buy-back. The shares to be issued to Intel, TSMC and Samsung will be non-voting except in exceptional circumstances.

As announced on 9 July 2012, ASML can issue new shares equivalent to 9.99% of its issued share capital to Intel as per the authorizations granted at ASML’s 2012 Annual General Meeting of shareholders.

This article was written by Amit Chowdhry. You can follow me at @amitchowdhry or on Google+ at
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