Vanguard International Semiconductor Corp (世界先進) and Episil Technologies Inc (漢磊) yesterday announced plans to jointly build an 8-inch fab to produce silicon carbide (SiC) chips through an equity acquisition deal.
SiC chips offer higher efficiency and lower energy loss than pure silicon chips, and they are able to operate at higher temperatures. They have become crucial to the development of electric vehicles, artificial intelligence data centers, green energy storage and industrial devices.
Vanguard, a contract chipmaker focused on making power management chips and driver ICs for displays, is to acquire a 13 percent stake in Episil for NT$2.48 billion (US$77.1 million).
Photo: Reuters
It is to subscribe to 50 million Episil shares at NT$49.6 each through a private placement, the companies said in a joint statement.
The offer represented a discount of 20 percent to Episil’s closing price of NT$61.9 yesterday.
Episil plans to use the proceeds to fund the construction of the 8-inch fab, which is expected to ramp up production in the second half of 2026, the statement said.
As the two firms collaborate on the research and development of SiC technologies, as well as the production of 8-inch SiC wafers, it would help Vanguard broaden its product portfolios and complete its compound semiconductor lineup that includes gallium nitride (GaN) chips, Vanguard chairman Fang Leuh (方略) said in the statement.
Vanguard earlier this year said that it plans to start pilot production of its second-generation GaN chips by the end of this year.
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