ESI CEO Dinner + Investor Day Showcases Its Strong Position in Electronics Growth

Research evidence excerpt

ESI CEO Dinner + Investor Day Showcases Its Strong Position in Electronics Growth

...is the growth expected in moving from plastic/resin to glass substrates, which offer optical and

electrical routing capabilities for AI chips but is very difficult to metallize. ESI is targeting this market with

Kuprion and its performance in sticking to the insides of microscopic Through-Glass Vias (TGVs). Overall,

management sees the total addressable market opportunity for Kuprion in multiple hundreds of millions

and within the advanced packaging space. At its premium value-based pricing, a successful commercial

execution would drive meaningful top- and bottom-line upside to our forecasts.

EFC Could See More Investments, Adding to Organic Growth: The EFC Gases acquisition, completed in

1Q26, generated ~$74mm in 2025 pro forma sales. The platform continues to see market share capture

in specialized end-markets (aerospace, semis), leveraging the most modern purification tower in the

U.S., to supply high-purity noble gases (e.g., krypton and xenon). The business has a strong market share

in the high-Earth orbit satellite ion propulsion, alongside providing recycling and delivery of dielectric

insulating gases for high-voltage data center utility power grids and semis applications (etching,

cleaning). Looking ahead, management is evaluating a longer-term opportunity to establish localized

chemical synthesis assets in the United States to address a critical technology supply chain vulnerability,

as many gas feedstocks are currently 100% reliant on imports from China and South Korea. While

investing in this area would be outside ESI's historical asset-light footprint strategy, management noted

that they will only look at highly de-risked frameworks.