Intel to sell minority stake in IMS Nanofabrication to TSMC


Intel initially invested in IMS in 2009 before acquiring it in 2015

Intel has announced today that it has agreed to sell a 10% stake in its subsidiary firm IMS Nanofabrication (IMS) to Taiwan Semiconductor Manufacturing Company Limited (TSCM). 

IMS, an Austrian based company, produces chip manufacturing components called ‘masks’ that are essential to develop advanced extreme ultraviolet lithography (EUV), a method for making the most advanced semiconductors, so-called leading-edge nodes that are needed for demanding applications like mobile devices. 

TSMC’s investment values IMS at approximately $4.3 billion. 

Intel will retain majority ownership, and the transaction is expected to close at the end of the fourth quarter this year. 

“This investment demonstrates the deep industry collaboration IMS is pioneering to advance critical lithography technology for leading-edge nodes, which will benefit the entire semiconductor manufacturing ecosystem,” said Matt Poirier, senior vice president of Corporate Development at Intel.  

“With enhanced independence, IMS will be well positioned to address the significant growth opportunity for multi-beam mask writing tools over the next decade and beyond.” 

“TSMC has been working with IMS since 2012 on the development of multi-beam mask writers for advanced technology nodes. This investment continues the long-term partnership between TSMC and IMS to accelerate innovation and enable deeper cross-industry collaboration,” said Dr. Kevin Zhang, senior vice president of Business Development at TSMC.

Earlier this year, Intel sold a 20% stake in IMS to private equity firm Bain Capital with the same $4.3 billion valuation. According to Reuters, this 20% stake was valued at $860 million. 

The investments from both firms will provide Intel with the capital to pursue its own foundry model and product development, whilst providing IMS with increased independence. 

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