Sumitomo Bakelite (TYO:4203) is acquiring Kyocera's (TYO:6971) chemical business for 30 billion yen, according to the companies' filings with the Tokyo bourse on Thursday.
The deal involves Kyocera creating a new subsidiary in July 2026 to house its semiconductor materials unit, which will produce encapsulation materials, bonding pastes, and industrial resins.
Kyocera will then transfer 100% of the new company's shares to Sumitomo Bakelite in October, making it a wholly-owned subsidiary.
The acquisition will enhance Sumitomo Bakelite's technological capabilities and presence in the ICT and semiconductor materials market, while for Kyocera, the divestiture represents a strategic step in its portfolio restructuring.
The final transfer price is subject to adjustment per the share purchase agreement.