Entegris Announces $50 Million Capacity Expansion Investment for Its High Purity Electronic Chemicals Business in North America to Support the Anticipated Increase in Domestic Semiconductor Production

Rhea-AI Summary

Entegris, Inc. (NASDAQ: ENTG) announced plans to enhance production and purification capabilities at its Pueblo, Colorado, and Hollister, California facilities, investing approximately $50 million. This expansion aims to meet the rising demand for ultra-high purity electronic chemicals essential for semiconductor manufacturing. The investment follows ongoing developments in Europe and Southeast Asia, with project completion expected within two years. CEO Bertrand Loy emphasized that this move aligns with the CHIPS for America Act and the European Chips Act, positioning Entegris favorably for new customer fabs in 2024 and 2025.

Positive

• Investment of approximately $50 million into production capacity expansion.
• Strategic alignment with CHIPS for America Act and European Chips Act.
• Expands capability to meet rising demand from semiconductor manufacturers.

Negative

• None.

BILLERICA, Mass.--(BUSINESS WIRE)-- Entegris, Inc. (Nasdaq: ENTG), a leading supplier of advanced materials and process solutions for the semiconductor and other high-technology industries, today announced its plans to increase production and purification capacity for its Pueblo, Colorado, and Hollister, California, sites to support the anticipated increase in demand for its Electronic Chemicals business.

The Electronic Chemicals business is part of Entegris’ Advanced Planarization Solutions (APS) division and includes ultra-high purity acids, bases, solvents, and formulated blend chemistries for use by semiconductor manufacturers in the U.S., Europe, and SE Asia regions.

These capacity investments supplement ongoing investments in Europe and Southeast Asia and are being made to support the increasing demand by advanced node customers investing in North America and Europe for low-organic solvent¹ & higher-purity cleaning chemistries². Planned capital investments amount to approximately $50 million across the two sites and are expected to be completed over the next two years.

“We are pleased to announce these two capacity expansion projects at existing sites in the U.S.; these will solidify the leadership position achieved by the Electronic Chemical business with key customers and position this business well for the future. The recent enactment into law of the CHIPS for America Act as well as the European Chips Act reinforce our belief that it is time to expand capacity and capability in anticipation of new customer fabs coming on stream in 2024 and 2025,” said Bertrand Loy, Entegris president and CEO.

About Entegris

Entegris is a leading supplier of advanced materials and process solutions for the semiconductor and other high-tech industries. Entegris has approximately 10,000 employees throughout its global operations and is ISO 9001 certified. It has manufacturing, customer service and/or research facilities in the United States, Canada, China, France, Germany, Israel, Japan, Malaysia, Singapore, South Korea, Taiwan, and the United Kingdom. Additional information can be found at www.entegris.com.

Forward-Looking Statements

This news release contains forward looking statements. The words “believe,” “expect,” “anticipate,” “intend,” “estimate,” “forecast,” “project,” “should,” “may,” “will,” “would” or the negative thereof and similar expressions are intended to identify such forward looking statements. These forward-looking statements include statements related to Entegris’ expansion of its capacity in Pueblo, Colorado, and Hollister, California; the amount of Entegris’ investment in connection with such expansion; future domestic semiconductor production and demand for ultra-high purity chemicals; the impact of government incentives and other matters. These statements involve risks and uncertainties, and actual results may differ materially from those projected in the forward-looking statements. These risks and uncertainties include, but are not limited to, those that are described in Entegris' filings with the Securities and Exchange Commission, including under the heading “Risks Factors” in Item 1A of Entegris' Annual Report on Form 10-K for the fiscal year ended December 31, 2021, filed with the Securities and Exchange Commission on February 4, 2022, and in Entegris' other periodic filings. Except as required under the federal securities laws and the rules and regulations of the Securities and Exchange Commission, Entegris undertakes no obligation to update publicly any forward-looking statements or information contained herein, which speak as of their respective dates.

¹ Solvents include amongst others: Propylene glycol methyl ether acetate (“PGMEA”), Isopropyl Alcohol (“IPA”); ² Cleaning chemistries include amongst others: Ammonium Hydroxide (“NH₄OH”), Sulfuric acid (“H₂SO₄”), Nitric Acid (“HNO₃”), Hydrogen peroxide (“H₂O₂”).

View source version on businesswire.com: https://www.businesswire.com/news/home/20230111005207/en/

Investors:

Bill Seymour

VP of Investor Relations, Treasury and Communications

T +1 952-556-1844

bill.seymour@entegris.com



Media:

Connie Chandler

Senior Director of Corporate Communications

T +1 978-436-6546

connie.chandler@entegris.com

Source: Entegris, Inc.

FAQ

What is Entegris planning to invest in 2023?

Entegris is planning to invest approximately $50 million to expand production and purification capacity at its facilities.

How will the expansion at Entegris affect its Electronic Chemicals business?

The expansion aims to enhance Entegris' ability to meet the increasing demand for ultra-high purity electronic chemicals used by semiconductor manufacturers.

Where are Entegris' capacity expansions taking place?

The capacity expansions are taking place at Entegris' Pueblo, Colorado, and Hollister, California facilities.

What government acts support Entegris' expansion plans?

Entegris' expansion plans are supported by the CHIPS for America Act and the European Chips Act.

When is Entegris expected to complete its expansion projects?

Entegris expects to complete its expansion projects within the next two years.