Sep. 29 at 2:30 PM
$ACMR simple thesis here. ACMR is a semiconductor capital equipment supplier specializing at wafer and batch level preparation (wet cleaning) and processing (electroplating, thermal deposition etc). It is a US company, however in 2006 expanded into China and formed a ACMR Research Shanghai which independently went public on the Shanghai exchange in 2021 with the identifier 668082. ACMR owns 74.5% of ACMR Shanghai - while not the entirety of ACMR's business, this is the largest portion. The backlog of this subsidiary is ~
$1.3B, a ~34% rise YoY, as the trade war with China escalates and the Chinese are accelerating semiconductor investment to catch up ion the AI race. ACMR Shanghai recently raised ~
$650M after a multi-year process due to the different regulatory structure there
ACMR Shanghai's equity is valued at over
$16B which means ACMR's 74.5% stake is worth over ~
$12B. ACMR's equity is valued at ~
$2.6B and implies ~370% upside to match the current value of the subsidiary
