ASM INTERNATIONAL UNVEILS EXPANSION IN SINGAPORE TO MEET GLOBAL CUSTOMER DEMAND FOR ADVANCED SEMICONDUCTORS
ASM International recently inaugurated its new manufacturing facility in Singapore and announced the groundbreaking for a second floor. This expansion, amidst a global chip shortage, aims to boost production capacity, increasing Singapore's capabilities fourfold and global capacity more than tripling. The facility is designed for efficiency and flexibility, addressing supply chain challenges. CEO Benjamin Loh highlighted a revenue growth target of €2.8-3.4 billion by 2025, equating to a CAGR of 16%-21%. The site is also recognized for sustainability, achieving Green Mark Gold Plus certification.
- Expansion quadruples capacity in Singapore and more than triples global capacity.
- Revenue growth target set at €2.8-3.4 billion by 2025, a CAGR of 16%-21%.
- New facility achieved Green Mark Gold Plus certification for sustainability.
- Local employment increased by 2.5 times in five years to approximately 850.
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Singapore,
March 28, 2022
ASM International N.V. (Euronext Amsterdam: ASM) officially unveiled its state-of-the-art Singapore manufacturing facility and operations hub today and announced the groundbreaking of a second manufacturing floor at the site. The opening ceremony was attended by Singapore Minister for Manpower and Second Minister for Trade and Industry, Dr Tan See Leng, and by representatives of JTC Corporation and of the Singapore Economic Development Board.
ASM’s Singapore expansion comes amidst recent global chip shortages, and will enable ASM to capitalize on surging demand brought on by accelerated digitalization trends. The facility, including the first manufacturing floor, was completed at the end of 2020. Including the second manufacturing floor, that will be production-ready early 2023, ASM’s capacity in Singapore will quadruple, and global capacity will more than triple. At the Singapore facility ASM assembles and tests its advanced deposition tools, including ALD and Epi, that are critical for the production of leading-edge semiconductor devices.
The design of the new facility allows for a more efficient manufacturing flow, and a higher level of flexibility, which has been particularly beneficial to cope with the challenges of the industry supply chain constraints recently.
“This strategic investment is increasing our ability to meet our customers’ demand and to support them transitioning to the next technology nodes,” said ASM International President and CEO Benjamin Loh. “The expansion of our second floor will further provide us with the flexibility to grow our revenue to our previously communicated target of
Second Minister Dr Tan See Leng commented: “Beyond boosting its manufacturing capabilities and capacity, ASM’s expansion will also advance Singapore’s semiconductor sector by creating many new jobs and business opportunities. We stand ready to continue partnering companies like ASM to grow their manufacturing footprint in Singapore and bolster Singapore’s position as an advanced manufacturing hub.”
The ASM Singapore facility was built with sustainability in mind and achieved the Green Mark Gold Plus certification. Aspects including smart building monitoring and energy efficiency, enhanced insulated building envelope and façade performance, greenery incorporated into the design, water efficient fixtures and systems, and sustainable building materials all contributed to this achievement.
“Backed by strong government support, Singapore is the ideal location for our global operations tapping into its highly-educated workforce and leveraging the extensive supply chain ecosystem in the region,” added Loh.
ASM’s Singapore operations have been instrumental in its growth. The local headcount has increased by 2.5x over the last five years to approximately 850 people by the end of 2021. Established in 2003, ASM in Singapore has transitioned over time towards higher value activities. Beyond manufacturing, the Singapore operations today also include key functions such as Supply Chain Management, worldwide IT, and Global People. This transition is illustrated by
Mr Tan Boon Khai, CEO of JTC, said “We are delighted to have ASM be part of the established semiconductor ecosystem and expand their footprint in our estate. With its newest leading-edge manufacturing facility, we hope to foster a strong spirit of collaboration and create a vibrant community for innovations to flourish. This will further strengthen Singapore’s edge as a leading advanced manufacturing hub.”
Mr Tan Kong Hwee, Executive Vice President of Economic Development Board commented: “We are delighted that ASM has chosen Singapore for a major expansion of their global production capacity. The semiconductor sector is a key pillar of Singapore’s manufacturing industry with a diverse range of capabilities, including IC design, equipment, R&D and advanced manufacturing. We look forward to ASM’s growth and the creation of new business and job opportunities in this rapidly growing sector.”
About ASM International
ASM International N.V., headquartered in Almere, the Netherlands, and its subsidiaries design and manufacture equipment and process solutions to produce semiconductor devices for wafer processing, and have facilities in the United States, Europe, and Asia. ASM International's common stock trades on the Euronext Amsterdam Stock Exchange (symbol ASM). For more information, visit ASM's website at www.asm.com.
Cautionary Note Regarding Forward-Looking Statements: All matters discussed in this press release, except for any historical data, are forward-looking statements. Forward-looking statements involve risks and uncertainties that could cause actual results to differ materially from those in the forward-looking statements. These include, but are not limited to, economic conditions and trends in the semiconductor industry generally and the timing of the industry cycles specifically, currency fluctuations, corporate transactions, financing and liquidity matters, the success of restructurings, the timing of significant orders, market acceptance of new products, competitive factors, litigation involving intellectual property, shareholders or other issues, commercial and economic disruption due to natural disasters, terrorist activity, armed conflict or political instability, changes in import/export regulations, epidemics and other risks indicated in the Company's reports and financial statements. The Company assumes no obligation nor intends to update or revise any forward-looking statements to reflect future developments or circumstances.
CONTACT
Investor and media contact:
Victor Bareño
T: +31 88 100 8500
E: investor.relations@asm.com
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