Japan JIC plans to sell JSR to Mitsui Chemicals, with the transaction amount possibly exceeding 1.3 trillion yen

(1) According to two sources familiar with the matter, the government-backed fund Japan Investment Corporation (JIC) plans to sell semiconductor materials manufacturer JSR to Mitsui Chemicals, with the transaction amount likely to exceed 1.3 trillion yen (approximately $8.2 billion). (2) One of the sources said that a decision could be made as soon as this month; as the information is not yet public, both sources declined to be named. (3) Two years ago, JIC acquired JSR for about 900 billion yen and stated it planned to use the company to promote consolidation in the semiconductor materials industry. With the AI investment boom boosting the valuations of chip-related companies, the fund is now turning to sell JSR to a major Japanese chemical conglomerate. (4) Founded in 1957, JSR is a global leader in photoresist manufacturing. Photoresist is used to transfer circuit patterns onto semiconductor wafers. Mitsui Chemicals, which is also expanding its chip materials business, currently has a market capitalization of approximately 800 billion yen. (5) This transaction could rank among the largest in the Japanese chemical industry, surpassing Showa Denko’s 2020 acquisition of Hitachi Chemical, which led to the formation of Resonac Holdings.