Disclosure under Regulation 30 of SEBI LODR, Regulations, 2015 in relation to the release made by the Press Information Bureau, Delhi.
Semiconductor ATMP unit for specialized chips:
CG Power, in partnership with Renesas Electronics Corporation, Japan and Stars
Microelectronics, Thailand will set up a semiconductor unit in Sanand, Gujarat.
Investment: This unit will be set up with an investment of Rs.7,600 crore.
Technology partner: Renesas is a leading semiconductor company focussed on specialised
chips. It operates 12 semiconductor facilities and is an important player in microcontrollers,
analog, power, and System on Chip (‘SoC)’ products.
Segments covered: The CG power semiconductor unit will manufacture chips for consumer,
industrial, automotive and power applications.
Capacity: 15 million per day
CG Power and Industrial Solutions Limited, Renesas, and Stars
Microelectronics, to Jointly Build Outsourced Semiconductor
Assembly and Test Facility in India
Acquires RF(Radio Frequency) Business of Renesas. Renesas is their partner in the Sanand OSAT.
Revenue: $ 56 M. Purchase Price: $36 M.
We need to check the profitability and growth trajectory of the business, which, if we look at the purchase price consideration, should not be very high. Also, RF is a mature industry, so margins may be slim. Still in the right direction considering they want to get deeper in chip design business.
These are the products I think they will be getting. I am not sure about Microwave products whether they are included in the deal. Need to check.
CG secures an order for supply and servicing of railway products towards manufacturing of Vande Bharat Trainsets and first phase of order value is around 450 crores!
