KoAsia "KoAsia Nexel Included as a Consolidated Subsidiary... System Semiconductor Business Takes Off"

[Asia Economy Reporter Yoo Hyun-seok] CoAsia, a system semiconductor design solution specialist company, announced on the 8th that it has incorporated CoAsia Nexel as a consolidated subsidiary. The company is reorganizing from an existing strategic investment relationship to a direct governance structure and integrating the system semiconductor business division directly under Chairman Lee Hee-jun to strengthen competitiveness.

The CoAsia Group secured approximately 83% of shares by converting the KRW 7.5 billion loan and KRW 2.5 billion convertible bonds (CB) held by CoAsia SEMI Korea Corporation to CoAsia Nexel into equity. The group explained that it plans to complete the ongoing external investment attraction and prepare for a full-scale leap forward.

CoAsia Nexel is a system semiconductor RTL (Register Transfer Level) design specialist company and the sole official design service partner of Samsung Electronics' Exynos Processor. It has also participated in the development of Samsung Electronics' flagship AP (Application Processor) 'Exynos' and IoT platform 'ARTIK.' Additionally, it holds global references across various industries, including participation in the development of Samsung Electronics' automotive semiconductor 'Exynos Auto.'

The CoAsia Group's strategy is to strengthen responses to customized integrated chip design (custom SoC) demanded by global customers through the integrated system semiconductor business divisions of CoAsia Nexel and CoAsia SEMI.

A CoAsia representative stated, "There is significant global demand across various industries such as high-performance computing (HPC), AI, cloud, and eco-friendly automobiles to create their own optimized chips. However, due to a lack of resources capable of actual chip design, companies realistically have no choice but to rely on specialized firms."

He added, "CoAsia Group will lead this global trend and collaborate with Samsung Foundry to enhance an all-in-one service that satisfies customers through flexible technology implementation from chip design to production and delivery."

The representative emphasized, "We will grow CoAsia Nexel as a core affiliate in the system semiconductor business division with a focus on the autonomous driving sector of the global finished car market. The securing of turnkey orders from expected global customers is also becoming visible."

Meanwhile, once external investment attraction is completed, CoAsia Nexel plans to accelerate the expansion of its resource pool and strengthen the IP ecosystem through RTL personnel reinforcement and related corporate M&A. Through this, it will build a mutually complementary and specialized business portfolio with more professional capabilities and competitiveness and actively target the global system semiconductor market.