United Microelectronics To Invest In JV For 12" Fab In China - Quick Facts

(RTTNews) - United Microelectronics Corp. (UMC) announced its Board has resolved to participate in a 3-way agreement for a joint venture company focused on 12" wafer foundry services with Xiamen Municipal People's Government and FuJian Electronics & Information Group. The company will submit an investment application with ROC government authorities for approval to invest in the joint venture established by Xiamen Municipal People's Government and FuJian Electronics & Information Group.

The joint venture will be based in Xiamen, China. The company expects its investment could reach approximately $1.35 billion in the next five years.

The company currently owns an 86.88% stake in HeJian Technology (Suzhou) Co., Ltd. which mainly provides 8" foundry services for Asia-Pacific and mainland Chinese customers. The announced joint venture will manufacture 12" wafers, initially offering 55nm and 40nm technologies.