BSL Corporation has signed MOU in acquiring Singapore based SD Unify Pte Ltd a company that operates an International Procurement Office (“IPO”) Center, connecting the overseas supply chain for semiconductor original equipment manufacturers.
This latest move shows BSL’s interest in gaining reputation and access into the global semiconductor market reported to be US$436.8 billion in 2020. BSL is primarily involved in precision stamping and tooling, printed circuit board (“PCB”) and EMS assembly for various product segments such as home appliances, computer, television, automotive, automation, industrial and data storage products. In addition, it also provides PCB and EMS assembly operations. SD Unify Pte Ltd however is involved in providing quality inspection, test and adjustment for semi-conduction equipment as well as on-site engineer to rectify and re-work on equipment supply from overseas supplier to OEM in Singapore. It also provides warehouse storage for semiconductor manufacturers from overseas and also transportation services to transfer the equipment from its warehouse to semiconductor OEM.
Many local semicon players haven been actively engaging in expanding their footprint either via acquisition or mergers due to the massive growth potential for the industry. For the first six months of 2021, worldwide semiconductor sales increased 29.2% over the same period last year. This has been driven by demand for semiconductors in the communications, computer, consumer and automotive segments. Work from home (“WFH”) resulting from the pandemic coupled with advancements in technology have driven demand to a new height.
According to its CEO Brian Hoo, the proposed acquisition will enable the company increase its exposure in semiconductors industry. The semiconductor segment will form a new pillar of growth for BSLCorp and complement its current operations as the group transitions to an Electronic Manufacturer Services (“EMS”) company,” added Brian.
The company is currently sitting on a high order book due to high volume of backlogs from their customers and it has been able to record consecutive profit after for the past 4 quarters.
