IDG Capital Nears $1 Billion Acquisition of ASMPT's SMT Unit

The SMT unit, which provides critical machinery and software for circuit board assembly, has become a high-value asset due to surging demand from the AI server, optical transceiver, and electric vehicle sectors. While ASMPT reportedly maintains a target valuation of $1.5 billion, bidders have yet to fully bridge that gap. Negotiations remain ongoing, and a final agreement could materialize within the coming weeks.

Competition for the unit has been robust, with private equity firms FountainVest Partners and Triton Partners also engaging in discussions. The divestment follows a strategic review initiated by ASMPT in January, aimed at streamlining the company’s portfolio. The SMT business has demonstrated significant momentum, reporting a 53.1% revenue increase to HK$3.87 billion in the first half of 2026, alongside record bookings fueled by the AI sector. ASMPT shares have climbed 52% year-to-date, reflecting investor confidence in the firm's broader semiconductor strategy.