STATS ChipPAC sells discrete assets
Mark LaPedus
EE Times
(06/11/2007 9:51 AM EDT)

SAN JOSE, Calif. — Singapore's STATS ChipPAC Ltd. Monday (June 11) announced the signing of a definitive agreement for the sale of select manufacturing assets to China's Ningbo Mingxin Microelectronics Co. Ltd.

Under the agreement, STATS ChipPAC will transfer assembly and test assets used to manufacture discrete power packages, including TO220, D2Pak, TO247 and Dpak, to Mingxin which is located in Ningbo city, Zhejiang province in China.

To ensure a smooth transition for Customers, STATS ChipPAC and Mingxin have developed a comprehensive transfer plan leveraging the combined engineering, production and quality resources of both companies. The transfer is anticipated to be completed within the next 18 months. STATS ChipPAC will continue to provide sales and technical support to its power Customers during the transition period.

In a statement, Tan Lay Koon, president and chief executive, of IC-assembly firm STATS ChipPAC said: "Transitioning out of the discrete power market will enable STATS ChipPAC to better focus our resources on our strategic advanced products that have better long term growth prospects."

STATS ChipPAC, which is in the midst of being acquired by a private-equity firm, last year also exited the low-end packaging market, by selling those assets to another Chinese firm.

Mingxin has been in business for over 15 years and currently focuses on products for computer, telecommunication equipment, home application, automotive, industrial and other consumer markets. Located in the Hi-Tech Park of Ningbo city, Mingxin specializes in research, development and manufacturing for a range of power, medium and small signal semiconductors