Mitsui Chemicals has decided to acquire major semiconductor materials producer JSR from government-backed fund JIC, with the transaction expected to exceed ¥1.3 trillion. The acquisition of JSR's photoresist business could become one of the largest deals ever in Japan's chemical industry.
Mitsui Chemicals' acquisition of major semiconductor materials producer JSR became known on the 4th. The total acquisition price is reportedly expected to exceed ¥1.3 trillion, paid to the government-backed fund Japan Investment Corporation (JIC). The aim is reportedly to strengthen earnings by incorporating JSR's materials businesses and enhance the competitiveness of semiconductor materials globally. More specific transaction terms and the definitive timing have not yet been disclosed, but the deal could become the largest M&A transaction ever in Japan's chemical industry.
JIC is said to have selected Mitsui Chemicals by the 4th as the preferred negotiating party for the sale of JSR. A formal decision is expected to involve further negotiations and the finalization of terms, and if completed, the transaction would attract considerable market attention. JSR's semiconductor materials division supplies photoresists, and the integration of the business after the acquisition is also envisaged.
JSR supplies key materials used to form semiconductor circuits, centered on photoresists. The acquisition could affect the reconfiguration of semiconductor materials supply chains in Japan and overseas. Attention is expected to focus on the disclosure of specific contractual terms, outstanding matters and the integration plan.