CCS Consults on the Proposed Acquisition by ASML Holding N.V. of Hermes Microvision, Inc.

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1.    The Competition Commission of Singapore (“CCS”) is conducting a public consultation from 5 July to 19 July 2016 to invite interested parties to provide feedback on the anticipated acquisition by ASML Holding N.V. (“ASML”) of Hermes Microvision, Inc. (“HMI”) (”the Proposed Acquisition”).

2.    The notification for decision is made jointly by ASML and HMI (collectively “the Parties”) under section 57 of the Competition Act (Cap. 50B) (“the Act”) in relation to section 54 of the Act which prohibits mergers that have resulted, or may be expected to result, in a substantial lessening of competition within any market in Singapore. CCS accepted the notification as complete on 28 June 2016.

The Proposed Acquisition

3.    ASML will acquire 100 per cent of the issued capital shares of HMI.

4.    CCS understands that ASML is involved in the development, production, marketing, selling and servicing of advanced high-tech lithography, metrology and software solutions for the semiconductor industry worldwide. Specifically in Singapore, ASML’s activities comprise the sales of lithography equipment, overlay metrology equipment and process control software. ASML also provides maintenance and customer services in Singapore.

5.    CCS understands that HMI is involved in the manufacturing of e-beam inspection tools for chip manufacturers worldwide. HMI has no offices or facilities in Singapore, and does not undertake manufacturing or R&D in Singapore, but supplies e-beam inspection tools to customers in Singapore.

6.    According to the Parties, there are no overlapping goods or services sold by the Parties globally (including in Singapore). In respect of the products supplied by the Parties, the relevant product markets may be broadly defined, for the purposes of their notification to CCS, as follows: (i) lithography equipment; (ii) overlay metrology equipment; (iii) process control software; and (iv) wafer inspection equipment.

7.    The Parties submit that the Proposed Acquisition will not give rise to coordinated effects in the relevant markets in view of the number of competing suppliers globally and the strong countervailing buyer power of end-customers. The Parties also submit that there are no potential portfolio or conglomerate effects arising from the Proposed Acquisition given that the merged entity has no ability or incentive to foreclose competitors, and the existence of strong countervailing buyer power.

Public Consultation

8.    CCS is inviting public feedback in relation to the Proposed Acquisition.

9.    More information on the public consultation can be accessed and downloaded from the CCS website  under the section Public Register and Consultation. The closing date for submissions is on or before 19 July 2016. If the submission or correspondence contains confidential information, please also provide CCS with a non-confidential version of the submission or correspondence.

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About The Competition Commission of Singapore (CCS)

CCS is a statutory board established under the Competition Act (Chapter 50B) on 1 January 2005 to administer and enforce the Act. It comes under the purview of the Ministry of Trade and Industry. The Act empowers CCS to investigate alleged anti-competitive activities, determine if such activities infringe the Act and impose suitable remedies, directions and financial penalties.

For more information, please visit www.ccs.gov.sg.

For media clarifications, please contact:

Ms. Grace Suen
Assistant Director
International and Strategic Planning Division
Competition Commission of Singapore
Email: grace_suen@ccs.gov.sg
DID: 6325 8216/ 9835 8601

Ms. Loy Pwee Inn
Senior Assistant Director
International and Strategic Planning Division
Competition Commission of Singapore
Email: loy_pwee_inn@ccs.gov.sg
DID: 6325 8313