Affect, Non-memory Semiconductor Backend Business Progressing Smoothly... "Two Fabless Companies Place Equipment Orders"

[Asia Economy Reporter Hyunseok Yoo] A-FACT announced on the 14th that its non-memory back-end process business is progressing smoothly as equipment orders for two fabless companies are underway and related engineers are being hired. Currently, equipment orders have been placed with Advantest to test automotive radio receiver chips for fabless company A, and equipment to test automotive microcontroller units (MCUs) for fabless company B is scheduled for October.

Company A has outsourced back-end processing to global OSAT companies for over 10 years. However, while planning additional development with an outsourcing company recently, they highly valued A-FACT’s technical capabilities and entrusted the testing outsourcing to them. Company B, focusing its business capabilities on automotive semiconductors and developing various products, decided to entrust testing of some products to A-FACT.

An A-FACT representative said, “Collaboration is actively taking place, including mutual visits for recent testing technology consultations,” adding, “Company B is one of the major domestic fabless companies and is increasing sales to leading domestic automakers and global automotive parts companies. This order is expected to be a good opportunity for A-FACT, which is pursuing entry into the non-memory business.”

Meanwhile, A-FACT’s largest shareholder, Pan Asia Semiconductor, recently signed a contract to sell its 25.41% stake to Mutual Growth LLC, a special purpose company (SPC) of a private equity fund (PEF) established by Aurora Partners. Mutual Growth LLC also acquired all convertible bonds issued by A-FACT held by Ocean Bridge, creating conditions to increase its stake to 29.1%.

Unid Global Trading, affiliated with OCI, participated as a major investor in the private equity fund established by Aurora Partners to acquire A-FACT.

An A-FACT representative stated, “This marks the first step into the non-memory back-end process business with orders for automotive semiconductor test equipment, and we will further accelerate the expansion of the non-memory business based on this.” They added, “With the recent change in the largest shareholder as an opportunity, we will strengthen the existing memory back-end process business through the Eumseong plant and actively promote entry and expansion into the non-memory back-end process business, creating an opportunity to leap forward as a comprehensive semiconductor back-end process company (OSAT).”

This content was produced with the assistance of AI translation services.