Applied Materials doubles Besi stake to 20%, shares jump 8.8%
What's the deal? Shares in Dutch semiconductor packaging equipment maker BE Semiconductor Industries (Besi) rose 8.8% to €159.20 on Tuesday, after larger US peer Applied Materials said it would raise its stake to about 20%. Applied first bought a 9% stake in Besi in April 2025.
What does Besi do? It makes assembly and packaging equipment for chips, including hybrid bonding technology — seen as a key enabler of next-generation AI chips. The two firms have collaborated since 2020, expanding the partnership in October to cover areas such as 3D IC scaling and logic and memory integration.
Why now? The move follows a steep decline in Besi's shares, which lost half their value in a broader semiconductor selloff after touching €317 in June. Besi reported third-quarter orders up 96% year over year, citing hybrid bonding and AI-related demand.
Not a takeover. Applied said it "currently has no intention to increase its investment in Besi beyond approximately 20%" and would not seek a board seat. Under Dutch competition rules, a company must launch a full bid for a competitor after acquiring more than 30%.
What could go wrong? The accelerated share purchase remains subject to US antitrust review. Analysts also flag China: both firms have significant sales there, giving Chinese regulators power over any merger.
"We believe AMAT would love to buy Besi, but we also believe the Chinese regulator would likely block such a deal," Degroof PetercamDealroom has a profile for this one. Try Dealroom → analyst Michael Roeg wrote. China accounted for about 30% of Applied's revenue in 2025, and Besi runs a plant in Leshan, China. In 2021, Applied abandoned its planned acquisition of Japan's Kokusai ElectricDealroom has a profile for this one. Try Dealroom → after China's regulator withheld timely approval.
The signal: The bigger stake underscores strategic confidence in advanced packaging as AI demand drives chipmakers toward denser, more energy-efficient designs. Applied is quoted by Prabu Raja, president of its Semiconductor Products Group, saying hybrid bonding is becoming an "increasingly critical" enabler of AI compute performance.
Read more: ca.marketscreener.com
Image credit: BE Semiconductor Industries
