According to HMI’s news released today, the transaction will entitle each HMI shareholder to receive TWD 1,410 per share in cash. The price per share reflects a premium of 31 percent over HMIs 30-day volume-weighted average price (VWAP).

Peter Wennink, President and Chief Executive Officer at ASML said that the two companies have worked together for almost two years to see how we could best combine our capabilities, and found that we could significantly improve this constructive cooperation and better serve our customer by teaming up as one company.

HMI e-beam metrology will deliver accurate patterning information, which ASML can use to optimize its successful computational lithography business. HMI will become a subsidiary of ASML in Taiwan and there will not be layoffs. We intend to continue to invest and grow HMI’s business at our two existing locations in Taiwan, where we already employ around 350 people, said Jack Jau, Chief Executive Officer at HMI.

The transaction is expected to close in the fourth quarter of 2016 and is subject to customary closing conditions, including review by Taiwanese, U.S. and international regulators.