Infineon completes sale of manufacturing sites to ASE
Germany's Infineon Technologies has completed the sale of its two backend manufacturing sites, one in Cavite, Philippines and one in Cheonan, South Korea, to two fully owned subsidiaries of ASE.
ASE will assume operations with current employees, and further develop both sites to support multiple customers. As such, ASE and Infineon have also concluded long-term supply agreements under which Infineon will continue to receive previously established services as well as services for new products to support its customers and fulfill existing commitments.
Infineon and ASE reached the agreement back in February earlier this year. At the time of the announcement, Infineon stated that by pooling manufacturing volumes in Cavite and Cheonan under a new owner, both companies will be able to leverage mutual synergy potentials, which is believed to generate attractive growth potentials for both parties.
The plant in South Korea is a backend manufacturing site with around 300 employees. The fab is located in Cheonan, about 60 miles south of Seoul. The site in Cavite is a backend manufacturing site with more than 900 employees and is located in one of the fastest-growing and most industrialised provinces in the Philippines.
