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Sumitomo Bakelite to acquire Kyocera semiconductor materials business for 30 billion yen

Sunday, February 22, 2026 at 09:10 PM

Sumitomo Bakelite will acquire Kyocera's semiconductor materials business for approximately 30 billion yen to strengthen its position in advanced packaging materials. The acquisition focuses on high thermal conductivity materials for AI data centers, processors, and power devices, with completion expected in October. The company aims to secure 55 billion yen in business profit by fiscal year 2030 through this expansion into back-end process technologies.

Context

Sumitomo Bakelite has reached an agreement to acquire Kyocera’s semiconductor materials business for approximately 30 billion yen. The transaction is scheduled for completion in October, with Sumitomo Bakelite acquiring all shares of a newly formed subsidiary housing the divested operations. This strategic move is designed to consolidate the company’s leadership in the semiconductor "back-end" process, specifically targeting high-performance materials for processors, memory, and power devices. The acquisition focuses on high-thermal conductivity technologies, which are increasingly critical for AI and data center applications where heat management is a primary performance bottleneck. By integrating Kyocera’s specialized portfolio, Sumitomo Bakelite intends to scale its production of advanced packaging materials to meet the rigorous demands of next-generation chips. This expansion is central to the company’s long-term growth strategy, which targets a consolidated business profit of 55 billion yen by fiscal year 2030.

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