AEM Holdings Ltd., a global leader in test innovation, and ASE Technology Holding Co., Ltd., a leading provider of semiconductor assembly, testing and materials services, announced a strategic partnership aimed at delivering disruptive test solutions for the rapidly expanding artificial intelligence and high-performance computing markets. The collaboration combines AEM's proprietary test technologies with ASE's world-class manufacturing scale to address the increasing complexity of testing advanced compute platforms.
Under the agreement, a wholly owned subsidiary of ASE will subscribe for 3,350,000 new ordinary shares of AEM at an issue price of S$3.591 per share, raising approximately S$12 million in gross proceeds. The subscription represents 1.06% of AEM's issued share capital as of March 21, 2026. Additionally, ASE will receive 28,111,856 free detachable warrants, divided into two tranches, each subject to certain revenue-related conditions. The warrants, if fully exercised, would result in an additional 8.935% of AEM's current issued share capital. The transaction is subject to conditions, including approval from the Singapore Exchange for listing and quotation of the new shares.
The proceeds from the private placement will support AEM's expansion in Taiwan and the joint integration of its test technologies, including highly parallel test architectures and advanced thermal management capabilities, into ASE's manufacturing and test environments. The funds will also be used to advance AEM's product roadmap and accelerate joint go-to-market initiatives targeting next-generation AI and HPC applications.
The partnership also supports ISE Labs, a wholly owned subsidiary of ASE, as it expands its AI and HPC processor development capabilities. These efforts focus on heterogeneous integration architectures, including multi-chiplet and advanced system-in-package designs, as well as optical interconnect technologies critical for next-generation compute platforms. ASE's ATM portfolio further strengthens these initiatives with high-volume advanced packaging and test capabilities, enabling production-scale deployment as global demand accelerates.
Ken Hsiang, Chief Executive Officer of ISE Labs, stated: "As compute architectures grow more complex and time-to-production continues to compress, test has become a critical enabler of performance, reliability, and manufacturability for next-generation AI and HPC systems. By combining ISE's advanced characterization and production-readiness capabilities with AEM's scalable, high-parallel test technologies and system-level engineering strengths, this strategic partnership enables rapid transition from validation to ASE's high-volume deployment while addressing the increasing complexity of advanced compute testing."
Samer Kabbani, Chief Executive Officer of AEM, commented: "This partnership represents an important step in AEM's strategy to work closely with industry leaders to advance the state of AI and HPC testing. ASE's forward-looking approach and global scale make them an ideal partner as test requirements continue to intensify across advanced compute platforms. By combining our respective strengths, we aim to develop and deploy next-generation test solutions that help customers improve performance, scalability, and time-to-market."
For more information about ASE, visit their website at https://www.aseglobal.com. AEM is listed on the main board of the Singapore Exchange (Reuters: AEM.SI; Bloomberg: AEM SP). The original press release can be viewed at https://www.newmediawire.com.
