SMIC: intends to establish a joint venture with Shenzhen SMIC to produce 28-nanometer and above integrated circuits
Source: Sina Technology 2021-03-22
Sina Technology News On the evening of March 17, SMIC announced that the company and the Shenzhen government (through the Shenzhen Reinvestment Group) (among others) intend to use SMIC Shenzhen for project development and operation through the proposed funding method. According to the plan, SMIC Shenzhen will carry out project development and operation, focusing on the production of 28-nanometer and above integrated circuits and providing technical services, aiming to achieve a final monthly production capacity of approximately 40,000 12-inch wafers. It is expected to start production in 2022. After the final agreement is signed, the new investment in the project is estimated to be 2.35 billion US dollars. The actual capital contribution of each party will be determined based on the evaluation of SMIC Shenzhen by a third-party professional company. SMIC Shenzhen will be owned approximately 55% and not more than 23% by the company and Shenzhen Reinvestment Group respectively.