LPE is now a part of ASM
ASM International says that it has completed the acquisition of LPE S.p.A., after having received regulatory approvals.
Back in July 2022, ASM entered into a definitive agreement under which it would at closing acquire all of the outstanding shares of LPE, an Italian-based manufacturer of epitaxial reactors for silicon carbide (SiC) and silicon, as previously reported by Evertiq.
The acquisition has officially been completed and LPE is now a fully owned subsidiary and will operate as a product unit under ASM’s Global Products organisation.
“This is an important milestone for ASM. We are excited to welcome LPE and its talented and experienced team into ASM,” says Benjamin Loh, President and CEO of ASM, in a press release. “Together with LPE we look forward to capturing many of the opportunities in the high-growth silicon carbide epitaxy market and to support our power electronics customers with innovative solutions, driving the further electrification of the automotive industry.”
LPE is profitable with margins in line with ASM’s 2021-2025 target model. The Italian company's revenue is projected to grow to more than EUR 100 million in 2023, mainly driven by its SiC epitaxy equipment business.
“I believe ASM is the right partner for LPE, especially now looking at the growth we are seeing in the silicon carbide market. The global reach that ASM has with its entrenched supplier and customer networks will bring benefits to all stakeholders,” adds Franco Preti, who led LPE as CEO until the acquisition.
Based on ASM internal estimates, demand for SiC epitaxy equipment is forecasted to grow at a CAGR in excess of 25% from 2021 to 2025.