Chinese company Wingtech buys UK’s largest semiconductor factory

Chinese company Wingtech buys UK’s largest semiconductor factory

Wingtech Technology, a Chinese electronics company, has announced the acquisition of Britain’s largest semiconductor company. The deal will allow the Chinese to acquire additional production facilities in the face of a global shortage of these products.

“The details of the agreement are still pending and the ownership has not yet been transferred. There are still some uncertainties, ”Wingtech said in a statement.

The amount of the deal was not disclosed. According to CNBC, it is $ 87 million.

Now the Newport Wafer Fab factory, designed for 200 mm wafers and producing semiconductor products at 0.18 microns and more primarily for the automotive industry, belongs to Neptune 6. Its customers include Nexperia, STMicroelectronics, Samsung, Motorola and other chip developers. The result of the company’s work in 2020 was a net loss of $ 25.6 million with revenue of $ 42.5 million. For comparison: Wingtech’s revenue in 2020 is about $ 8 billion.

The acquisition will be through Nexperia, a chip maker that Wingtech acquired from China’s JAC Capital in 2019. In turn, JAC Capital bought the Dutch company from chipmaker NXP for $ 2.75 billion in 2016.

The purchase could catch the attention of the UK government. Although the deal has not been discussed to date, it could be revised in accordance with the National Security and Investment Law.

Chinese company Wingtech buys UK’s largest semiconductor factory

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