Applied Materials Successfully Completes Semitool Tender Offer with More Than 94 Percent of Shares Tendered

Applied Materials, Inc. announced the successful completion of its $11 per share cash tender offer for all outstanding shares of Semitool, Inc. The tender offer expired at midnight, EST, on Dec. 17, 2009. Applied expects to effect a second-step merger to complete its acquisition of Semitool by Dec. 21, 2009.

This acquisition will expand Applied’s capability to address emerging opportunities in the high-growth wafer packaging market and provides complementary systems and technology for advanced semiconductor manufacturing.

Following completion of the merger, Semitool will be operated as a part of Applied’s Silicon Systems Group.

“Semitool is a strategic fit for Applied that strengthens our ability to address two important, high-growth markets in the semiconductor industry,” said Dr. Randhir Thakur, senior vice president and general manager of Applied’s Silicon Systems Group. “Our enhanced product lineup will provide customers with the broadest range of manufacturing solutions for both chip fabrication and packaging to meet the accelerating demand for more powerful, sophisticated and cost-effective devices.”

Based on preliminary information from the depositary for the tender offer, 31,222,684 shares, representing more than 94 percent of the outstanding shares of common stock of Semitool as of the close of business on Dec. 17, 2009, were validly tendered and not withdrawn prior to the expiration of the tender offer.

As previously announced on Nov. 17, 2009, Applied, its wholly-owned subsidiary, Jupiter Acquisition Sub, Inc., and Semitool entered into a merger agreement providing for the purchase by Jupiter Acquisition Sub, Inc., pursuant to the tender offer, of all of the outstanding shares of Semitool for $11 per share, net to the seller in cash. Applied expects to cause the merger to be completed by December 21, 2009.