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In a blockbuster semiconductor shakeup, Axcelis Technologies Inc. announced Wednesday it will merge with Veeco Instruments Inc. in an all-stock deal valued at roughly $4.4 billion, aiming to forge a new powerhouse in semiconductor production equipment.

The Deal Structure

Under the agreement, Veeco shareholders will receive 0.3575 Axcelis shares for each Veeco share. Once finalized, Axcelis investors will own about 58% of the merged entity, while Veeco shareholders will hold 42% on a fully diluted basis.

The combined company will be headquartered in Beverly, Massachusetts and adopt a new name, ticker symbol and brand following closing, which is expected in the second half of 2026, pending shareholder and regulatory approval.

Building a Semiconductor Titan

Executives framed the deal as a transformational milestone in the race to supply critical tools for advanced chipmaking.

“This combination establishes a new leader in semiconductor capital equipment with complementary technologies and an expanded market opportunity,” said Russell Low, Axcelis president and CEO, who will lead the merged company.

Veeco CEO Bill Miller added, “With increased R&D scale, this merger accelerates our ability to solve material challenges and enable advanced chip manufacturing, delivering superior value for all stakeholders.”

Market Expansion and Innovation

By fusing their portfolios, the two companies anticipate boosting their total addressable market to over $5 billion. The partnership promises:

• A diversified product portfolio across growing end markets
• A robust R&D engine to accelerate innovation
• Expanded solutions to meet chip manufacturers’ rising demands

“This merger capitalizes on the strengths of both companies,” Miller said, emphasizing the opportunity to tackle customers’ most pressing technology hurdles.

Leadership and Governance

The 11-member board of the merged entity will feature six Axcelis directors and four from Veeco, with Thomas St. Dennis, already a board member at both firms, set to chair. Jorge Titinger, current Axcelis chairman, will remain on the new board.

Low will serve as president and CEO, and James Coogan, Axcelis’ CFO, will retain his role.

Legal Advisors

• Axcelis is advised by Skadden Arps Slate Meagher & Flom LLP, with a team spanning M&A, antitrust, IP, tax, employment, and SEC compliance specialists.
• Veeco is represented by Morrison Foerster LLP, led by M&A partners Spencer Klein and Joe Sulzbach.

The transaction marks one of the most ambitious semiconductor mergers in recent years, with the potential to redraw competitive lines in a global industry defined by innovation, scale, and relentless demand.