Mimasu's business consists of the semiconductor division, which provides silicon wafer processing services; the industrial sales division, which sells measuring instruments, testing machines, other precision equipment and other products manufactured by the engineering division; and the engineering division, which manufactures semiconductor-related automating equipment.

Shin-Etsu said Mimasu’s semiconductor business, industrial sales business and engineering business can each make a significant contribution to the growth of its electronic materials business.

Shin-Etsu expects that the semiconductor industry will experience a significant increase in demand for semiconductor devices over the medium and long term, but that, in the short term, the semiconductor industry will face inventory surpluses, raw material cost increases and other severe changes. “For these reasons, Shin-Etsu recognizes that it is time for Mimasu to institute changes to conduct higher-level technical research [and] stabilize its supply chain,” the company added.

Shin-Etsu intends to maintain and not change the structure of Mimasu’s current supply/sales chain and business partners for the time being.

The company said that the transaction will expand its product lines to meet demand for a wide range of wafer products and reduce Mimasu's investment costs. The deal will also utilize Shin-Etsu group's wafer reclaim technology, expand sales channels for spin processors and improve the allocation of risk in the case of natural disasters.