A CTI cryo pump
Atlas Copco AB (Stockholm, Sweden; www.atlascopcogroup.com) has agreed to acquire the cryogenics business of Brooks Automation, Inc. (www.brooks.com), for a total value of $675 million (SEK 6,239 million).
The acquisition includes cryo pump operations located in Chelmsford, Mass. (U.S.) and Monterrey, Mexico, a worldwide network of sales and service centers, and Brooks Automation’s 50% share of Ulvac Cryogenics, Inc., (UCI).
The cryogenic business, which is headquartered in Chelmsford, Mass., has about 400 employees and revenues of approximately $195 million in the last 12 months. The revenue for the joint venture is not included in this number. UCI is a joint venture with Ulvac, Inc., a company listed on the Tokyo stock exchange. UCI had total revenues of approximately $100 million in the fiscal year ending June 2017. Brooks originally acquired the business in its 2005 merger with Helix Technology and integrated the business into Brooks’ Chelmsford headquarters operations.
“The acquisition of Brooks Automation’s cryogenic business gives us access to new technologies and products and complements our current offering for semiconductor chamber solutions”, said Geert Follens, President of Atlas Copco’s Vacuum Technique business area. “We will use the strength of Atlas Copco’s global presence in vacuum, to extend the application of the acquired products and technologies to general industry and the emerging medical and energy markets”.
Brooks Automation is a market leader in advanced cryo pumps and associated products for the semiconductor industry through its CTI-Cryogenics and Polycold brands. The acquired business will significantly expand Atlas Copco’s technology offering to customers in the semiconductor and general vacuum industries through the Edwards business, a brand in the Atlas Copco Group.
Brooks is not transferring products or IP developed as part of its Life Sciences segment or vacuum automation portfolio in its Semiconductor Solutions segment.
Steve Schwartz, President and CEO of Brooks, stated, “The CTI cryogenic vacuum and Polycold product lines and technology have provided technology solutions to the semiconductor industry and have been stable and profitable elements of Brooks’ portfolio for the past 13 years. We are confident it will be a valuable addition to the Edwards product portfolio, part of Atlas Copco’s Vacuum Technique business area, and that Edwards will provide an engaging work environment to our employees and seamless continued delivery of excellent products and service to our customers. We plan to use the proceeds of this transaction to further the transformation of our Brooks portfolio as we remain focused on our long-standing strategy to increase shareholder value by accelerating the growth of our Life Sciences business with further acquisitions, and strengthening our Semiconductor Automation business with opportunistic acquisitions.”
The acquisition complements Atlas Copco’s existing technology portfolio with a new range of high vacuum pumps that optimize the removal of water vapor and hydrogen, which is critical to many semiconductor and industrial processes.
The acquisition is an all-cash transaction utilizing Atlas Copco’s existing funds and is subject to regulatory approvals. The acquisition is expected to be completed during the first quarter of 2019. The acquired business will become part of the Semiconductor and Semiconductor Service divisions within Atlas Copco’s Vacuum Technique business area.