Samsung Electro-Mechanics, silicon capacitor 1 trillion5,000 hundred million won supply contract…South Korean equipment and materials stocks rise

Samsung Electro-Mechanics disclosed that it had signed a silicon capacitor supply contract worth 20 on 1 trillion5,000 hundred million won. The company described the customer as a “major global corporation.” It said the contract marked its first large-scale supply achievement in the silicon capacitor business.

The supply contract runs from 2027 to 1 starting 1 through 2028 to 12 ending 31, for a contract period of 2. Samsung Electro-Mechanics CEO Jang Deok-hyun described the contract as an important step in supplying key components for AI semiconductors. The company said it would expand its product lineup going forward.

Silicon capacitors are components that help stabilize power in high-performance AI semiconductors, including server GPUs and high-bandwidth memory (HBM). The company said they have design advantages compared with conventional multilayer ceramic capacitors (MLCCs). Samsung Electro-Mechanics has been developing the component as a new growth driver.

In response to market reaction, Samsung Electro-Mechanics 20showed strength during intraday trading. On the same day, semiconductor equipment maker Jusung Engineering was up in the morning at 9hours42 minutes, as of 15 percent. The industry sees this as reflecting expectations of benefits for equipment and parts companies amid ongoing semiconductor investment.

SeAH Holdings announced a tender offer and cancellation of its own shares worth 300. The company said it would buy shares at 160,000 per share. SeAH Holdings' stock rose sharply early in the session after the disclosure.

Overall market trading that day saw some major supply-and-demand issues and corporate disclosures heighten volatility among individual stocks. News related to the semiconductor supply chain was confirmed to have driven the market that day. Price movements varied widely depending on the individual stock.