Dutch-based Nearfield Instruments secures €135M in second largest semiconductor funding round

Rotterdam-based Nearfield Instruments, a developer of Metrology & Inspection (M&I) solutions for the semiconductor manufacturing industry, has closed a €135M Series C funding round. 

The oversubscribed round saw investment from new investors including US-based VC firm Walden Catalyst and global investor Temasek, alongside co-investor M&G Investments. Existing investors Innovation Industries, Invest-NL, and ING also contributed.

According to Mergermarket, this funding round is the second largest capital raise in the semiconductor fabrication equipment market in Europe and the US over the past five years.

Young Sohn, Founding Managing Partner at Walden Catalyst, says, “Advanced semiconductors are the key pillars for global innovation and growth. The next generation of semiconductors will be driven by Advanced Lithography and 3D Integration, with smaller features, deeper trenches, and tighter tolerances.”

“The high-volume manufacturing of these next-gen devices requires new process control tools to enable higher yield and throughput, and Nearfield’s metrology solutions are critical for solving these process control challenges. We are excited to partner with Hamed and his world-class team to further accelerate Nearfield’s growth,” adds Sohn.

What does Nearfield Instruments solve?

Nearfield Instruments, a spin-off of the Dutch research institute TNO, addresses the complexities of advanced semiconductor manufacturing with process control solutions, including the QUADRA 3D metrology system. 

QUADRA offers non-destructive, high-throughput, high-resolution metrology capabilities and is validated and deployed in high-volume manufacturing by major chip manufacturers worldwide.

Nearfield is headquartered in Rotterdam, with offices in Eindhoven, Netherlands, and Pyeongtaek, South Korea.

Speaking on the investment, Eric Meurice, Chairman of the Nearfield Instruments Supervisory Board, says, “This fantastic outcome enables us to accelerate Nearfield’s efforts to provide unique solutions to meet the industry’s metrology and inspection needs for the most advanced nodes.”

“Providing process control and yield improvement is critical in this global industry. It is great to see the continued support of our shareholders combined with the onboarding of new industry-leading investors who will reinforce our global view and network and cement the company’s position as the leader in Metrology & Inspection.”

Capital utilisation

Dr. Hamed Sadeghian, co-founder and CEO of Nearfield Instruments, says, “We are thrilled that Nearfield’s QUADRA 3D metrology system has been fully integrated into the first major high-volume semiconductor manufacturing fab. This milestone solidifies our pioneering role in advancing critical metrology for leading-edge nodes.”

“With significant contributions from investment leaders, we are well-positioned to meet the growing demand for Metrology & Inspection in the coming decade.”

“This funding will enable us to ramp up production capacity, expand our product portfolio, and strengthen our position as a key player in the semiconductor equipment industry,” adds Dr. Sadeghian.

Brief about the lead investors

Walden Catalyst is a VC firm supporting early-stage deeptech companies in the US, Europe, and Israel. The firm focuses on disruptive technologies and is led by industry pioneers Young Sohn and Lip-Bu Tan, who have invested in over 600 startups with 138 IPOs.

Temasek is a global investment company headquartered in Singapore, managing a portfolio valued at €267B. Guided by the purpose “So Every Generation Prospers”, Temasek claims to play a significant role in shaping global investment strategies and fostering economic prosperity.

M&G Investments, part of M&G plc, manages €396B in assets as of December 2023. Serving customers globally, M&G has a history in private markets, with €84B under management. In 2021, it launched Catalyst, a multi-billion purpose-led strategy investing in innovative solutions to major environmental and social challenges.