Taiwan-based GlobalWafers Co. (????) has vaulted itself into the position as the third largest silicon wafer supplier in the world after it completed a deal to acquire NASDAQ-listed SunEdison Semiconductor Ltd.
In a statement, GlobalWafers said that the acquisition is expected to allow the firm to have "a meaningful expansion of its production capabilities and breadth in product and global customer base, including greater access to Korean and EU as well as SOI (Silicon-on-Insulator ) product technologies and capacity."
In August, GlobalWafters announced the deal to acquire SunEdison for US$683 million or US$12 per share. The deal also included SunEdison's outstanding bad loans.
The completion of the deal has helped GlobalWafers take a 17 percent share of the global silicon wafer market, up from the previous 7 percent, to become the third largest supplier in the world, the Taiwanese firm said. Before the deal, GlobalWafers was among the top six silicon wafer firms in the world.
Chairwoman and Chief Executive Officer of GlobalWafers Doris Hsu (???) said in the statement that the new company has 17 operation sites strategically located in 10 countries in all regions.
For its part, SunEdison owns facilities in research and development, and manufacturing facilities in the U.S., Europe and Asia. It enables the next generation of high-performance semiconductor devices, while GlobalWafers has a total of nine operation sites in Taiwan, China, the U.S., Japan, Denmark and Poland.
"The new GlobalWafers will be customer-centric with our success being gauged by the satisfaction level of our customers. Our goal is to aggressively be our customers' supplier of choice as it relates to quality, technology, supply, support and price," Hsu said.
The acquisition deal is expected to boost GlobalWafers' 12-inch silicon wafer annual production to 750,000 units from 200,000, and raise 8-inch silicon wafer production to more than 1 million units from 400,000 a year, the company said.
GlobalWafers Vice President Chen Wei-wen (???) said that SunEdison shares will be delisted from the NASDAQ market after the acquisition. Chen added that SunEdison is planning to move its headquarters to Hsinchu, northern Taiwan, where GlobalWafers is based, in order to streamline its operations.
Chen said that after the deal, SunEdison is expected to see its borrowing costs fall, which is expected to strengthen its financial conditions.
Chen added that GlobalWafers has faith that SunEdison will turn a profit next year on the back of improving operations.
Source: Focus Taiwan News Channel