SAN JOSE, Calif. -- Germany's Siemens AG will sell its assembly systems business--Siemens Electronics Assembly Systems (SEAS)--to ASM Pacific Technology.
ASM Pacific is a subsidiary of ASM International NV of the Netherlands. With the move, ASM Pacific will expand its product portfolio by entering into the surface mount technology (SMT) equipment business.
SEAS, which has around 1,200 employees, is one of the world’s leading suppliers of surface assembly systems for the electronics industry. ''Due to the lack of internal synergies, SEAS is no longer a core business of Siemens,'' according to the German firm.
ASM Pacific will integrate SEAS into the company as a separate unit and has also made extensive pledges regarding business locations and workforce. Munich, Germany is to remain the central location for production, testing and research at SEAS.
ASM International also reported its quarterly results. It reported second quarter 2010 net sales of 302.4 million euros ($392.6 million), up 38 percent quarter to quarter and up 153 percent year to year.
Net earnings of the second quarter of 2010 were 47.5 million euros ($61.7 million), as compared to net earnings of 4.2 million euros ($5.5 million) in the first quarter of 2010 and a net loss of 55.7 million euros ($72.3 million) for the second quarter of 2009.
In a statement, Chuck del Prado, president and CEO of ASM International, said, "ASMI's second quarter performance reflects strong growth in both our wafer processing and assembly and packaging operations.Our front-end business returned to profitability, we reached the cost reduction targets as set out in our global restructuring program, and we experienced an acceleration of orders compared to prior quarters. In back-end, revenues, orders, and profits once again set quarterly records for our assembly and packaging operations serving the semiconductor and LED markets".
Big companies shedding off their weight or workforce. It has become common scene among the big companies to sell off some business units to be a leader in their core business like Recently Motorola sold its infrastructure business to Nokia siemens. This is a great move by ASM and will definitely help them to increase their customers.
Join our online Radio Show on Friday 11th July starting at 2:00pm Eastern, when EETimes editor of all things fun and interesting, Max Maxfield, and embedded systems expert, Jack Ganssle, will debate as to just what is, and is not, and embedded system.