Danbury, Connecticut–ATMI, Inc., announced today that it has purchased the remaining 30% minority interest in its South Korean chusik hosea joint venture–which manufactures, sells, and distributes thin film materials to the semiconductor industry in South Korea–with K.C. Tech.
Under the agreement, ATMI will pay $5 million, a diminishing royalty, and certain expenses in exchange for the 30% interest held by K.C. Tech and various commitments held by K.C. Tech. ATMI also expects to buy $2 million worth of K.C. Tech’s common stock–equal to about 2.5% of their outstanding shares. ATMI and K.C. Tech plan to continue cooperating on research and development for semiconductor and flat panel display manufacturing equipment. Additionally, it is expected that K.C. Tech will manufacture ATMI chemical delivery systems for the Korean market on an original equipment manufacturer basis for 5 years.
Current employees of the joint venture are expected to remain with the company, and ongoing operations will be consolidated under ATMI Korea.