Applied Materials, Inc. announced on May 4, 2026, that it has entered into a definitive agreement to acquire the NEXX business from ASMPT Limited for $120 million in cash. The acquisition is a strategic move to bolster Applied’s leadership in advanced packaging, specifically targeting the growing demand for panel-level technologies used in energy-efficient artificial intelligence (AI) accelerators.
The transaction involves the purchase of all issued shares of ASMPT NEXX, Inc., a U.S.-based subsidiary of ASMPT Limited. According to official filings, the deal includes the transfer of approximately $6.7 million in inventory and an $18 million indemnification holdback to secure post-closing obligations for a period of 18 months. ASMPT, which is listed on the Hong Kong Stock Exchange under the ticker 0522, expects to recognize an estimated net gain of roughly $11 million upon completion of the sale.
NEXX specializes in large-area electrochemical deposition (ECD) and physical vapor deposition (PVD) equipment. These technologies are critical for creating fine-pitch input-output wiring and redistribution layers in semiconductor packaging. As AI workloads increase, chipmakers are transitioning from traditional 300-millimeter silicon wafers to larger panel form factors, some as large as 510 by 515 millimeters. This shift allows for the integration of more components—such as GPUs, high-bandwidth memory stacks, and input-output chips—into a single, high-performance package using 2.5D and 3D chiplet stacking architectures.
Dr. Prabu Raja, President of the Semiconductor Products Group at Applied Materials, stated that the addition of NEXX complements the company's existing portfolio of digital lithography, PVD, CVD, etch, and metrology systems. He noted that the acquisition provides significant opportunities for customer co-innovation in panel processing, an area essential for the next generation of AI chip manufacturing. Jarek Pisera, President of ASMPT NEXX, added that the partnership would accelerate the industry’s adoption of large-format advanced packaging technologies.
From the perspective of ASMPT Limited, the divestment is part of a broader strategic integration. The company intends to focus its resources on its core backend packaging and surface mount technology businesses. Following the close of the transaction, NEXX will no longer be consolidated into ASMPT’s financial results.
The acquisition is expected to close within the next several months, subject to customary closing conditions. Notably, the companies stated that no regulatory approvals are required for the transaction. Upon completion, the NEXX team will be integrated into Applied’s Semiconductor Products Group and will continue to operate from its current headquarters in Billerica, Massachusetts.