Inari Amerton Berhad is collaborating with China Fortune-Tech Capital a Chinese-based investment company with a heavy interest in the semiconductor industry on setting up an Outsourced Semiconductor Assembly and Test (OSAT) manufacturing business in China.
According to the company, the focus of the joint venture will be primarily for the China market and on selecting the partnership with CFTC was due to the firm’s expertise and investments in the integrated circuit industry including semiconductor materials and electronic materials, integrated circuit design, equipment, IP, services, and tools
Both parties bring their own key strengths into the business, CFTC will provide expertise, relationships, and guidance to the new company on business opportunities, including sales, marketing strategy, business development, and risks within the regulatory frameworks of China. It will also provide local support on the physical set up of plants, safety/health/environmental compliance and secure human resources for operations of these plants. Inari one of a handful of OSAT providers in the region will work together on technical and operational expertise and resources to achieve the best performance outcome.
Investment for the new entity with be 100% of the equity shares of Amerton business in China and a new cash investment of RM300 million as capital contribution by Inari. CFTC will contribute a new cash investment of RM485 million and RM13million as 100% of its equity shares of its semiconductor company Yiwu Semiconductor International Corporation which will total RM499 million. Upon which the new entity will be 55% owned by Inari and 45% by CFTC will own 45%.
The objective for the approach is to leverage the global demand and China being the main consumer of semiconductors at the moment. It will also leveraging each other’s expertise bringing both their strengths in look to grow the market in China. through knowledge transfer from Inari to the CJV while Inari will draw from
