ChipMOS Technologies Inc.’s Board of Directors has approved the proposed $137.1 million sale of the equity interests in Unimos Microelectronics (Shanghai) Co. Ltd (Unimos Shanghai) by the company’s wholly owned subsidiary, ChipMOS Technologies (BVI) Ltd (ChipMOS BVI).

Under the proposed agreement, ChipMOS BVI will sell its entire remaining 45.0242% equity interests in Unimos Shanghai to Suzhou Oriza PuHua ZhiXin Equity Investment Partnership (L.P.) and 10 other local Chinese investment management companies. Total consideration under the proposed all-cash sale of RMB979.3 million (approximately NT$4.29 billion or approximately $137.1 million) will be paid to ChipMOS BVI in two installments, with the second installment to be paid six months after the first installment. The estimated loss upon disposal is expected to be approximately NT$41.8 million, but the actual profit and loss figure will vary according to the reported amount of the actual trading day and the exchange rate.

“This transaction is inline with our focus on supporting customers in higher growth end-markets as a leading OSAT provider. Our Board of Directors approved the proposed sale of all equity interests in Unimos Shanghai to even better align our asset base with the company’s global business strategy, while also further improving the company’s financial strength and competitiveness as the transaction proceeds will be used for future medium and long-term operational development,” said S.J. Cheng, Chairman of ChipMOS. “We continue to benefit from content expansion and broader market growth within several high-growth markets, including automotive electronics, 5G, intelligent home devices and AI applications, led by the continued expansion of our high-end test platform. We remain committed to investing in R&D and developing core technologies to meet customers’ evolving requirements while enhancing our competitiveness and business strength.”

By: DocMemory
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