• Posted by: Technology Staff Editor
• On: 06/16/2008 09:49:45
• In: Information Technology

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SAN JOSE, Calif. -- Is Axcelis Technologies Inc. ready to throw in the towel and get acquired?

Chip-equipment maker Axcelis (Beverly, Mass.) said that the company, Sumitomo Heavy Industries Ltd. (SHI) and private-equity firm TPG Capital have entered into a ''confidentiality agreement'' with respect to discussions between the parties.

The companies did not elaborate, but for some time, SHI and TPG have made various unsolicited offers to acquire Axcelis. There can be no assurance that these discussions will result in any transaction, according to the companies.

Earlier this year, Sumitomo or SIH--along with private-equity firm TPG Group--launched an unsolicited and hostile bid to acquire ion-implanter specialist Axcelis (Beverly, Mass.) for approximately $544 million.

Axcelis rejected the offer. Then, Axcelis rejected the latest and unsolicited proposal by Sumitomo (Tokyo) and TPG to acquire the fab-tool vendor for $6.00 per share or $615.6 million. Supposedly, that was Sumitomo's last bid.

Now, the Japanese company, which has a joint venture in Japan with Axcelis, said it will purse the U.S. company.

Recently, Axcelis said that it expects its net loss per share to be in the range of $0.10-to-$0.14 for the quarter, which is below the $0.04-to-$0.08 range previously provided.

The reason for the shortfall is due to an unanticipated drop in the quarter in the the equity income and royalties received from SEN, the company's 50 percent owned joint venture with (SHI).