ACM Research Announces Strategic Plan to Extend Access to China’s Capital Markets
June 17 2019 - 4:15PM
ACM Research, Inc. (“ACM” or the “Company”) (NASDAQ:ACMR), a
provider of single-wafer wet cleaning equipment used by
manufacturers of advanced semiconductors, today announced a
strategic plan to extend its access to China’s capital markets to
further support ACM’s mission to become a leading global provider
of semiconductor capital equipment.
ACM will seek to list, within the next three years, shares of
its principal operating subsidiary ACM (Shanghai) Research, Inc.
(“ACM Shanghai”) on the Shanghai Stock Exchange’s Sci-Tech
innovAtion boaRd (the “STAR Market,” previously referred to as the
Science and Technology Innovation Board or STIB), a new exchange
intended to support innovative companies in China. ACM plans to
list ACM Shanghai shares on the STAR Market to access a new source
of growth capital in its primary market, raise ACM’s profile with
investors and potential customers in the region, and help solidify
ACM’s position as a global supplier to the semiconductor capital
equipment market.
To qualify for a STAR Market listing, ACM Shanghai is required
to have multiple independent shareholders. As a first step, ACM
entered into agreements on June 12, 2019 under which third-party
investors will invest an aggregate of RMB 161.8 million ($23.5
million at current exchange rates) into ACM Shanghai at a pre-money
valuation of RMB 4.65 billion ($674.5 million), and agreements with
ACM Shanghai employee entities to invest an aggregate of RMB 26.1
million ($3.8 million) at a pre-money valuation of RMB 3.72 billion
($539.6 million). The total proceeds of RMB 187.9 million ($27.3
million) from the investments are due in July 2019, and will be
reserved by ACM Shanghai in segregated accounts until ACM Shanghai
completes a successful listing on the STAR Market. If the Company
abandons the Star Market listing, or the listing is not completed
in approximately three years, ACM Shanghai will return the original
capital amount to the investors. Participants include SL
Capital Partners, several China-based private equity firms, and
other China-based investors.
ACM’s President and Chief Executive Officer Dr. David
Wang commented, “Our plan is intended to better align ACM’s
capital structure with its mission to become a leading global
provider of semiconductor capital equipment, where our innovative
SAPS, TEBO, Tahoe and ECP technologies position us for significant
growth. We are acting now in order to realize a favorable
valuation, to solidify ACM’s position as a key local player in
China, and to fund the development of the world-class capabilities
necessary to win additional large IC manufacturers as
customers.”
Wang continued, “Our global headquarters will remain in Fremont,
California, and we are committed to maintaining the Nasdaq listing
of ACM’s Class A common stock. We believe listing in two stock
markets will further enable us not only to scale our business in
mainland China, but also to open our business to broader
opportunities in Taiwan, Korea, Japan, Europe, and the United
States. A key element of our growth strategy is to be close to
customers, close to world-class engineering talent, and close to
our supply chain, as well as to our investors.”
Conference Call Details
A conference call to discuss the proposed STAR Market listing
will be held on Monday, June 17, 2019, at 5:00 p.m. Eastern
Time (Tuesday, June 18, 2009 at 5:00 a.m. China Time). Dial-in
details for the call are as follows. Please reference conference ID
8374956.
|
Phone Number |
Toll-Free Number |
United States |
+ 1 (845) 675-0437 |
+ 1 (866) 519-4004 |
Hong Kong |
+ 852 30186771 |
+ 852 800906601 |
Mainland China |
+ 86 8008190121 |
|
|
+ 86 4006208038 |
|
Other International |
+ 65 67135090 |
|
A recording of the webcast will be available on the investor
page of the ACM website at www.acmrcsh.com following the call.
Forward-Looking Statements
This press release includes forward-looking statements within
the meaning of the Private Securities Litigation Reform Act of
1995. Forward-looking statements may be identified by the use of
words such as “believe,” “expect,” “will,” “would,” and “plan” and
other similar expressions that predict or indicate future events or
trends or that are not statements of historical matters.
Forward-looking statements include statements in this press release
regarding: the proposed listing of ACM Shanghai shares on the STAR
Market (including the private investments by China-based investors
in furtherance of such listing); the timing of such proposed STAR
Market listing (including the timing of the funding of the proposed
private investments); ACM’s expectations with respect to the impact
of the proposed STAR Market listing on ACM and its product
offerings, customer perceptions, revenue and earnings; ACM’s
projected future performance, including revenue and earnings, and
ACM’s future access to capital markets, including its ability to
maintain the Nasdaq listing of its Class A common stock; and the
future launch, development and operation of the STAR Market by the
Shanghai Stock Exchange. Forward-looking statements are based on
ACM’s current expectations and beliefs, and involve a number of
risks and uncertainties that are difficult to predict and that
could cause actual results to differ materially from those stated
or implied by the forward-looking statements. Those risks and
uncertainties include, but are not limited to, the ability to
successfully complete the proposed STAR Market listing of ACM
Shanghai shares. A further description of these risks,
uncertainties, and other matters can be found in filings ACM makes
with the Securities and Exchange Commission. Because
forward-looking statements involve risks and uncertainties, actual
results and events may differ materially from results and events
currently expected by ACM, and ACM assumes no obligation and
expressly disclaims any duty to update information contained in
this press release except as required by law.
About ACM Research, Inc.
ACM Research develops, manufactures and sells single-wafer
wet cleaning equipment, which semiconductor manufacturers can use
in numerous manufacturing steps to remove particles, contaminants
and other random defects, and thereby improve product yield, in
fabricating advanced integrated circuits.
© ACM Research, Inc. The ACM logo, SAPS, TEBO and Tahoe are
trademarks of ACM Research, Inc. For convenience, these trademarks
appear in this press release without ™ symbols, but that practice
does not mean that ACM will not assert, to the fullest extent under
applicable law, its rights to the trademarks. This press release
also contains other companies’ trademarks, registered marks and
trade names, which are the property of those companies.
For investor and media inquiries, please
contact:
In the United States: |
The Blueshirt Group |
|
Ralph Fong |
|
+1 (415) 489-2195 |
|
ralph@blueshirtgroup.com |
|
|
In China: |
The Blueshirt Group Asia |
|
Gary Dvorchak, CFA |
|
+86 (138) 1079-1480 |
|
gary@blueshirtgroup.com |
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