AEM Holdings Ltd. and ASE Technology Holding Co., Ltd. have entered a strategic partnership aimed at accelerating test innovation for artificial intelligence and high-performance computing markets. The collaboration will combine AEM’s proprietary test technologies with ASE’s manufacturing scale to deliver advanced test solutions addressing the growing complexity of AI and HPC processors.
Under the agreement, a wholly owned subsidiary of ASE will subscribe for 3,350,000 new ordinary shares in AEM at 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 revenue-related conditions tied to ASE’s attributable business. The Tranche 1 exercise price is set at 103% of the volume weighted average price of AEM’s shares on the signing date, and Tranche 2 at 105%. If fully exercised, the warrants would represent an additional 8.935% of AEM’s current issued share capital. The transaction requires approval from the Singapore Exchange for listing and quotation of the new shares.
The funds from the private placement will support AEM’s expansion in Taiwan and the integration of its test technologies, including highly parallel test architectures and advanced thermal management, into ASE’s manufacturing and test environments. The partnership also aims to advance AEM’s product roadmap, enhance system offerings, and accelerate joint go-to-market initiatives for next-generation AI and HPC applications.
The partnership also benefits ISE Labs, a wholly owned subsidiary of ASE, which is expanding its AI and HPC processor development capabilities to address early-stage testing, validation, and characterization. These efforts focus on heterogeneous integration architectures such as multi-chiplet and advanced system-in-package designs, as well as optical interconnect technologies critical for next-generation compute platforms. ASE’s ATM portfolio provides high-volume advanced packaging and test capabilities for production-scale deployment.
Ken Hsiang, Chief Executive Officer of ISE Labs, noted that as compute architectures grow more complex and time-to-production compresses, test has become a critical enabler of performance, reliability, and manufacturability. He stated that combining ISE’s characterization and production-readiness capabilities with AEM’s scalable test technologies enables rapid transition from validation to high-volume deployment. Samer Kabbani, Chief Executive Officer of AEM, emphasized that the partnership represents an important step in advancing AI and HPC testing, leveraging ASE’s global scale and forward-looking approach to develop next-generation test solutions.
For more information about ASE, visit https://www.aseglobal.com. For more information about AEM, visit the original release at https://www.newmediawire.com.
