SMIC, CICIIF And Qualcomm Intend To Invest Into SJ Semiconductor - Quick Facts

(RTTNews) - Semiconductor Manufacturing International Corp., or SMIC (SMI), China Integrated Circuit Industry Investment Fund Co., Ltd. or CICIIF, and a subsidiary of Qualcomm Incorporated have announced the signing of a non-legally binding term sheet relating to a contemplated investment of $280 million in the aggregate in SJ Semiconductor Corp. or SJsemi.

If the contemplated investment is completed, the funds raised by SJsemi will be put towards expediting the establishment of China's first 12" bumping production line, which is expected to expand the scale of production, improve its advanced manufacturing capabilities and improve China's overall chip manufacturing ecosystem.

Located in Jiangyin, Jiangsu province, SJsemi was founded in August 2014 through a joint venture between SMIC and Jiangsu Changjiang Electronics Technology Co., Ltd. or JCET.

SJsemi will serve as the world's first pure play Middle-End-Of-Line or MEOL entity that focuses on advanced bumping production. Complementing nearby advanced back-end assembly infrastructure, SJsemi will be an important key to forming a local integrated circuit ecosystem, providing a convenient one-stop service to supply high quality and efficient chips for local and international customers, as well as help strengthen their global competiveness.