ST will acquire 55 per cent of Norstel’s share capital, with an option to acquire the remaining 45 per cent subject to certain conditions.
Recently multinational electronics and semiconductor manufacturer STMicroelectronics has announced that it has all set to acquire the majority stake in Swedish silicon carbide (SiC) wafer manufacturer Norstel AB (“Norstel”).
ST will acquire 55 per cent of Norstel’s share capital, with an option to acquire the remaining 45 per cent subject to certain conditions, which, if exercised, will result in total consideration of $137.5 million.
As per information,ST will control the entire supply chain for a portion of its SiC devices at a time of constrained global capacity and positions itself for a significant growth opportunity.
Jean-Marc Chery, President and CEO of STMicroelectronics had said that ST is the only semiconductor company with automotive-grade silicon carbide in mass production today.Theywant to build their strong momentum in SiC, both in volume and breadth of applications for industrial and automotive, targeting continued leadership in a market estimated at more than $3 billion in 2025.
Norstel,based in Norrkoping, Sweden,was established in 2005 as a spinoff of Linköping University. It develops and manufactures advanced 150mm silicon carbide bare and epitaxial wafers.