IDG Capital Emerges as Lead Bidder for ASMPT's SMT Unit Valued at Over $1 Billion

IDG Capital has emerged as the most advanced bidder to buy the electronics assembly equipment business of Hong Kong-listed ASMPT, in a deal that could value the unit at over $1 billion, Reuters reported, citing three people with knowledge of the matter. A deal could be reached in coming weeks, though terms are not finalised and uncertainty remains, one of the people said.

IDG Capital Leads Race for ASMPT's SMT Unit

IDG Capital is a Hong Kong-headquartered global venture capital and private equity firm founded in 1993, operating multi-strategy funds across venture, growth, buyout, secondary, and public markets. ASMPT makes hardware and software for semiconductor and electronics manufacturing, and its surface mount technology unit sells machines, software and services that help electronics makers print, inspect and place components on circuit boards, according to ASMPT's website.

ASMPT is targeting a valuation of $1.5 billion in the sale, two of the people said, adding potential buyers may fall short of the expectation. Private equity firms FountainVest Partners and Triton Partners had also expressed interest in the unit and engaged in discussions, the people said. They spoke on the condition of anonymity because the information was confidential.

ASMPT announced a strategic assessment of its SMT Solutions business in January. The assessment considered options such as a sale, joint venture, spin-off, public listing or retaining and supporting the business, ASMPT said at the time. The company said the review could support SMT's long-term growth while allowing ASMPT to focus more on expanding its semiconductor solutions business and its chip packaging operations.

ASMPT's SMT business posted a 53.1% jump in revenue to HK$3.87 billion in the first half of 2026 from a year earlier, according to its filing in July. SMT's bookings rose 87.8% to HK$6.98 billion, a new record for the period, driven largely by demand from AI server makers, it said.

IDG Capital's Recent Deal Activity

According to akta.pro company records, IDG Capital committed RMB 3 billion to DeepSeek's first external funding round in June 2026, and led Moonshot AI's $500 million Series C in December 2025 at a $4.3 billion post-money valuation. The firm acquired a controlling stake in Yoplait China's dairy business for RMB 1.8 billion in December 2025.

ASMPT's Earlier Coverage

Citi added ASMPT to its 30-day upside catalyst watch list on October 26, 2026, citing rising packaging capital expenditure and strong advanced packaging equipment demand, according to Moomoo. BlackRock's long position in ASMPT increased to 6.01% on October 9, 2026, from 5.25%, according to HKEX data cited by The future of trading. Zacks Research downgraded ASMPT from a strong-buy to a hold rating on September 30, 2026, Markets Daily reported.

What Comes Next for the SMT Sale

A deal could be reached in coming weeks, one person said, though terms are not finalised and uncertainty remains. ASMPT did not immediately respond to multiple requests seeking comment, and IDG and FountainVest also did not immediately respond to Reuters requests for comment. London-based Triton declined to comment "as a matter of policy."