ASE Technology Holding Co (日月光投資控股) yesterday said its subsidiary has agreed to sell a 20 percent stake in its Chinese chip packaging and testing subsidiary to Chinese firm Fujian Jinhua Integrated Circuits Co (晉華集成電路) for US$22.5 million.
Fujian Jinhua is to subscribe to new shares issued by Siliconware Precision Industries Co’s (SPIL, 矽品精密) Chinese subsidiary, Siliconware Electronics (Fujian) Co (矽品電子福建), according to a statement submitted by ASE, the world’s biggest chip tester and packager, to the Taiwan Stock Exchange.
Siliconware Electronics (Fujian) would see its share capital increase to US$112.5 million after the share sale, the statement said.
The Chinese semiconductor firm does not rule out making further equity investments, it said.
“The strategic alliance should help [the company] secure stable orders,” ASE said.
The deal — which does not need to be approved by Taiwanese regulators — also aims to deepen its partnerships with its client, it said.
Fujian Jinhua is not SPIL’s first Chinese strategic partner.
Early this year, SPIL sold a 30 percent share of another Chinese subsidiary, Siliconware Technology (Suzhou) Co (矽品科技蘇州), to Tsinghua Unigroup (清華紫光) for about 1.03 billion yuan (US$148.3 million) to expand its presence in the world’s biggest semiconductor market.
Siliconware Electronics (Fujian) aims to provide chip packaging and testing services for memory and logic chipmakers in neighboring areas, which include Fujian Jinhua and United Microelectronics Co (UMC, 聯電).
UMC operates a chipmaking subsidiary, United Semiconductor (Xiamen) Co (聯芯), in Fujian Province, China.
UMC is also providing research and development consultancy services for Fujian Jinhua to build DRAM manufacturing technology.
The project is entering the final stage, paving the way for the Chinese chipmaker to start volume production, UMC said on Wednesday.
With an approval rating of just two percent, Peruvian President Dina Boluarte might be the world’s most unpopular leader, according to pollsters. Protests greeted her rise to power 29 months ago, and have marked her entire term — joined by assorted scandals, investigations, controversies and a surge in gang violence. The 63-year-old is the target of a dozen probes, including for her alleged failure to declare gifts of luxury jewels and watches, a scandal inevitably dubbed “Rolexgate.” She is also under the microscope for a two-week undeclared absence for nose surgery — which she insists was medical, not cosmetic — and is
CAUTIOUS RECOVERY: While the manufacturing sector returned to growth amid the US-China trade truce, firms remain wary as uncertainty clouds the outlook, the CIER said The local manufacturing sector returned to expansion last month, as the official purchasing managers’ index (PMI) rose 2.1 points to 51.0, driven by a temporary easing in US-China trade tensions, the Chung-Hua Institution for Economic Research (CIER, 中華經濟研究院) said yesterday. The PMI gauges the health of the manufacturing industry, with readings above 50 indicating expansion and those below 50 signaling contraction. “Firms are not as pessimistic as they were in April, but they remain far from optimistic,” CIER president Lien Hsien-ming (連賢明) said at a news conference. The full impact of US tariff decisions is unlikely to become clear until later this month
GROWING CONCERN: Some senior Trump administration officials opposed the UAE expansion over fears that another TSMC project could jeopardize its US investment Taiwan Semiconductor Manufacturing Co (TSMC, 台積電) is evaluating building an advanced production facility in the United Arab Emirates (UAE) and has discussed the possibility with officials in US President Donald Trump’s administration, people familiar with the matter said, in a potentially major bet on the Middle East that would only come to fruition with Washington’s approval. The company has had multiple meetings in the past few months with US Special Envoy to the Middle East Steve Witkoff and officials from MGX, an influential investment vehicle overseen by the UAE president’s brother, the people said. The conversations are a continuation of talks that
CHIP DUTIES: TSMC said it voiced its concerns to Washington about tariffs, telling the US commerce department that it wants ‘fair treatment’ to protect its competitiveness Taiwan Semiconductor Manufacturing Co (TSMC, 台積電) yesterday reiterated robust business prospects for this year as strong artificial intelligence (AI) chip demand from Nvidia Corp and other customers would absorb the impacts of US tariffs. “The impact of tariffs would be indirect, as the custom tax is the importers’ responsibility, not the exporters,” TSMC chairman and chief executive officer C.C. Wei (魏哲家) said at the chipmaker’s annual shareholders’ meeting in Hsinchu City. TSMC’s business could be affected if people become reluctant to buy electronics due to inflated prices, Wei said. In addition, the chipmaker has voiced its concern to the US Department of Commerce
RSS