Semiconductor Manufacturing Worldwide Company (SMIC), a contract chip producer in China, is planning to accumulate full management of a subsidiary foundry, amid ongoing consolidation inside the nation’s semiconductor business, South China Morning Submit reported citing an organization announcement.
SMIC intends to buy the remaining fairness stake in Semiconductor Manufacturing North China (Beijing) Company (SMNC), which is presently 51% owned by SMIC, the report mentioned.
The acquisition will contain state-owned buyers, together with the China Built-in Circuit Trade Funding Fund, the Beijing Semiconductor Manufacturing and Tools Fairness Funding Centre, Beijing E-City Worldwide Funding & Growth, and Zhongguancun Growth Group.
The corporate famous that the settlement remains to be within the preliminary levels, with sure parts of the transaction nonetheless being negotiated.
Following the announcement, SMIC’s shares listed in Shanghai had been suspended for a most of ten buying and selling days.
SMNC was based in June 2013 with the target of building vital manufacturing capabilities, notably specializing in 45 nanometre and smaller applied sciences, aiming for a month-to-month capability of 35,000 wafers, as said in SMIC’s 2013 annual report.
In 2021, SMNC reported working income of $1.51bn and a internet revenue of $314m, based on SMIC’s 2022 annual report.
Within the first half of 2025, SMNC and one other SMIC subsidiary, Semiconductor Manufacturing Beijing Company (SMBC), collectively generated income of 8.87bn yuan ($1.24bn).
The mixed internet revenue for these two entities was 125m yuan.
For the primary half of the yr, SMIC reported a income enhance of twenty-two% year-on-year, reaching practically $4.46bn, whereas internet revenue surged by 35.6% to $320m.
In August 2025, Hua Hong Semiconductor, the second-largest contract chipmaker in China, disclosed plans to accumulate 97.5% of its sister foundry, Shanghai Huali Microelectronics.
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