Feixiang Network News (Ma Qiuyue / Text) March 10 news, today Changfei Optical Fiber And Cable Co., Ltd. issued an announcement on foreign investment, said that it has set up a bidding consortium on March 8, and signed up to participate in the bidding for the "Wuhu Terahertz Engineering Center Co., Ltd. and Wuhu Tuss Semiconductor Co., Ltd. Merger and Reorganization Overall Transaction Plan" publicly listed on the Anhui Yangtze River Equity Exchange. Among them, Changfei Company and its wholly-owned subsidiary, Wuhan Core Investment Management Co., Ltd., invested about RMB780 million and the bidding consortium contributed about RMB1429.67 million.
After the completion of this transaction, Changfei will directly hold about 34.92% of the equity of Tuss Semiconductor, and indirectly hold about 2.18% of the equity of Tuss Semiconductor through terahertz Investment Center and Terahertz Investment Fund, totaling about 37.10% of tuss semiconductors, Tuss Semiconductor will become a subsidiary of Tuss Semiconductor, terahertz Engineering Center will become a subsidiary of Tuss Semiconductor, all included in the scope of Changfei's consolidated financial statements.
Nowadays, with the changes in customer needs and the needs of the company's own development, Changfei has vigorously developed diversified businesses while consolidating traditional advantageous products, and this transaction is also an important layout of Changfei's diversification measures.
It is understood that Tuss Semiconductor and Wuhu Terahertz Engineering Center are mainly engaged in the process research and development and manufacturing of third-generation semiconductor products represented by silicon carbide (SiC) and gallium nitride (GaN), which are mainly used in new energy vehicles, communication base stations, photovoltaics and other related fields. The main business includes the epitaxy of silicon carbide and gallium nitride, the manufacture of chips related to third-generation semiconductor power and radio frequency, and the research and development, production and sales of the whole industry chain such as power modules and power single tube packaging and testing. Among them, TusS Semiconductor is currently mainly responsible for business operations, and Terahertz Engineering Center is mainly responsible for holding related fixed assets required for business operations.
With the increase in the performance requirements of power components in emerging applications such as 5G and new energy electric vehicles, compared with the first generation of materials silicon (Si), germanium (Ge), and the second generation of gallium arsenide (GaAs) and indium phosphide (InP) for temperature, frequency, power has reached the limit, it is difficult to apply in more harsh environments, the third generation of semiconductor silicon carbide (SiC) and gallium nitride (GaN) in the high temperature, high current environment still has excellent performance.
In 2021, many national policies will increase the third-generation semiconductor industry, and the mainland is no exception. Among them, the integrated circuit in the "Fourteenth Five-Year Plan for National Economic and Social Development of the People's Republic of China and the Outline of Long-term Goals for 2035" mentions in the column on key research in the frontier fields of science and technology: "The research and development of key materials such as integrated circuit design tools, key equipment and high-purity targets, the breakthrough of advanced processes and insulation barrier bipolar transistors (IGBT), microelectromechanical systems (MEMS) and other characteristic processes, the upgrading of advanced storage technology, and the development of wide bandgap semiconductors such as silicon carbide and gallium nitride." After that, the Ministry of Science and Technology and the Ministry of Industry and Information Technology comprehensively increased their support and investment in the third-generation semiconductor industry.
Related institutions predict that the global power semiconductor components and module market will reach $27.4 billion in 2025, of which the third-generation semiconductor SiC/GaN market will account for less than 5% from 2021 to about 17% in 2025.