Semiconductor fab automation specialist Asyst Technologies is to enter Chapter 11 bankruptcy in the U.S. as well as its Japanese subsidiaries, Asyst Technologies Japan Holdings Company, Inc. and Asyst Technologies Japan, Inc., which have entered voluntary proceedings under Japan’s Corporate Reorganization Law. Asyst said that the Chapter 11 was initiated due to defaulting on interest payments to KeyBank National Association, announced recently, which ‘accelerated the outstanding indebtedness under the term loan and revolving credit agreements and lines of credit.’
Asysts also said that delays in customer projects due to the semiconductor slump as well as delays in collecting debts, coupled to difficulties in obtaining lending which had restricted its ability to remain liquid.
The company expects to continue essential operations, including product support, service and warranty programs, during the Chapter 11 process and is also seeking a sale of the company and/or significant asset sales. Asyst is also evaluating debtor-in-possession financing to provide additional liquidity during the Chapter 11 period.