Integrated Solutions buys closed MTI

Electronic News, Sept 26, 1994

TEWKSBURY, MASS.--Integrated Solutions, Inc. (ISI) has acquired the assets of Machine Technology, Inc. (MTI), a supplier of wafer processing equipment which filed last month for Chapter 7 liquidation and ceased operations. ISI will fulfill orders placed with MTI and is setting up a service and spare parts organization for MTI products.

ISI, the former service arm of GCA, established in a management buyout from General Signal a year ago, has acquired MTI's accounts receivable, inventory, fixed assets, technology, patent rights and all other assets. Financial terms weren't disclosed.

ISI has hired Nancy Przyhocki, MTI's service manager, and other MTI employees to provide support for the installed base of MTI equipment.

"After MTI ceased operations, we were contacted by several of our customers who were using MTI equipment," said Ellery R. Buchanan, president of ISI. "They were concerned about continued service support. We decided to acquire MTI, grow our service business, provide users the support necessary to continue operations and ensure the delivery of a few MTI systems nearing completion."

ISI, in its GCA incarnation and after, has been making wafer coat/develop equipment since 1975 and recently introduced the OptiTRAC, a robotic coat/develop system for highvolume fab applications (EN, July 18). Gary Mezack, ISI's vice president of marketing, said the company is considering whether to continue manufacturing MTI's FlexiFab photoresist processing system, given its self-interest in promoting use of the OptiTRAC model.

"We have not yet determined the long-term interest from customers regarding the MTI systems and we will carefully consider the options to continue to manufacture certain of the tools," Mr. Buchanan said. "Certainly, the MTI technology, which can be of value to our customers and enhance the performance of the OptiTRAC, may be used in the future.

"In any case, this acquisition of MTI by Integrated Solutions, Inc., is a perfect example of the value ISI adds to the industry. Our service expertise has allowed us to resolve a potentially difficult situation for customers and assist them in avoiding costly disruptions to their critical production operations."

MTI was headquartered in Parsippany, N.J., and manufactured wafer processing equipment for more than 20 years. It had exhibited at the recent Semicon/West 94 in San Francisco. Its FlexiFab system is used by IBM in its Burlington, Vt., fab in conjunction with the Micrascan deep-ultraviolet lithography system to produce 16-megabit DRAMs and other parts. Steven Jensen, vice president of worldwide sales at Silicon Valley Group, said MTI had been in decline as a competitor for at least six years.