UMC Receives Final Approval for 100% Acquisition of Mie Fujitsu Semiconductor
September 25 2019 - 4:47AM
Business Wire
300mm fab further diversifies UMC’s Asia
manufacturing base
United Microelectronics Corporation (NYSE: UMC; TWSE: 2303)
("UMC"), a leading global semiconductor foundry, today announced
that the company has satisfied all closing conditions, including
final approval from all relevant government agencies, for the full
acquisition of Mie Fujitsu Semiconductor Limited (MIFS), the former
300mm wafer foundry joint venture between UMC and Fujitsu
Semiconductor Limited (FSL). The completion of the acquisition is
scheduled for October 1, 2019.
In 2014, FSL and UMC agreed for UMC to acquire a 15.9% stake in
MIFS from FSL through progressive phases. FSL is now cleared to
transfer the remaining 84.1% of its shares in MIFS to UMC, with a
final transaction value to acquire the remaining shares totaling ¥
JPN 54.4 billion. As a wholly-owned subsidiary of the Taiwan-based
foundry, MIFS will be renamed as United Semiconductor Japan Co.,
Ltd. (USJC).
In addition to the equity investment in MIFS, FSL and UMC have
had a mutually beneficial partnership through licensing of UMC's
40nm technology and establishment of a 40nm logic production line
at MIFS. After several years of joint operations, both companies
agreed on the benefits of integrating MIFS into UMC to strengthen
UMC’s business foundation as a leading global semiconductor foundry
with a broad customer portfolio, enhanced manufacturing expertise
and extensive technology offerings, enabling MIFS to maximize its
potential, enhance Japan’s semiconductor industry competiveness and
drive values to UMC’s stakeholders.
Jason Wang, co-president of UMC, said, “This win-win acquisition
will create synergies through the integration of USJC’s world-class
production quality standards and employees with UMC's decades of
manufacturing experience, economy of scale and foundry expertise to
provide enhanced support for new and existing Japanese customers.
Meanwhile, UMC’s global customers will gain access to a volume
production 300mm fab in Japan.”
Co-president Wang continued, “The addition of USJC also
complements UMC’s strategy of developing a diversified 300mm
manufacturing capability across Asia. Going forward, we will
continue to stay focused on our strength in Specialty Technologies
and explore growth opportunities in line with this strategy through
the evaluation of both internal and external capacity expansion
opportunities.”
About UMC
UMC (NYSE: UMC, TWSE: 2303) is a leading global semiconductor
foundry. The company provides mature and advanced IC production
with a focus on Specialty Technologies to manufacture ICs for
applications spanning every major sector of the electronics
industry. UMC’s comprehensive foundry solutions enable chip
designers to leverage the company’s sophisticated technology and
manufacturing, which include high volume 28nm High-K/Metal Gate
technology, volume production 14nm FinFET, specialty process
platforms specifically developed for AI, 5G and IoT applications
and the automotive industry’s highest-rated AEC-Q100 Grade-0
manufacturing capabilities for the production of ICs found in
vehicles. UMC’s 11 wafer fabs are strategically located throughout
Asia and are able to produce more than 600,000 wafers per month.
The company employs approximately 18,500 people worldwide, with
offices in Taiwan, China, Europe, Japan, Korea, Singapore, and the
United States. UMC can be found on the web at
http://www.umc.com.
Note from UMC Concerning
Forward-Looking Statements
This press release contains forward-looking statements that are
based on current expectations, estimates, forecasts and projections
of future performance based on management's judgment, beliefs,
current trends, and anticipated performance. These forward-looking
statements include, without limitation, statements relating to
synergies resulting from the acquisition of MIFS; expected benefits
of acquisition to customers and UMC stakeholders; business
strategies of UMC; the anticipated closing date of the acquisition;
and anticipated manufacturing capabilities of USJC. Investors are
cautioned that actual events and results could differ materially
from these statements as a result of a variety of factors,
including conditions in the overall semiconductor market and
economy; acceptance and demand for products from UMC; risks
relating to the integration process after acquisition;
technological and development risks; and other risks as described
in UMC’s filings with the U.S. Securities Exchange Commission,
including our Annual Report on Form 20-F and Current Reports on
Form 6-K. Other unknown or unpredictable factors or underlying
assumptions subsequently proving to be incorrect could cause actual
results to differ materially from those in the forward-looking
statements. Although we believe that the expectations reflected in
the forward-looking statements are reasonable, we cannot guarantee
future results, level of activity, performance, or achievements.
You should not place undue reliance on these forward-looking
statements. All information provided in this press release is as of
today's date, unless otherwise stated, and UMC undertakes no duty
to update such information, except as required under applicable
law.
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version on businesswire.com: https://www.businesswire.com/news/home/20190925005370/en/
UMC Richard Yu (886) 2-2658-9168 ext. 16951
richard_yu@umc.com
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