Japanese Government Fund Plans to Acquire Fujitsu Subsidiary in Substrate Manufacturing for About 7 Trillion Won

The Industrial Innovation Investment Corporation of Japan (JIC), a fund established by the Japanese government, is expected to acquire Shinko Electric Industries, a subsidiary of the Japanese electronics giant Fujitsu that manufactures semiconductor substrates and other products.

According to major Japanese media on the 12th, Fujitsu has decided to grant JIC the priority negotiation rights for the sale of Shinko Electric Industries, which is listed on the Tokyo Stock Exchange. Fujitsu holds a 50% stake in the company.

Currently, Shinko Electric Industries has a market capitalization of 750 billion yen, and JIC's total purchase amount is estimated to reach 800 billion yen (approximately 7.2 trillion won). The media reported that JIC is expected to acquire all shares through a public tender offer and delist the company.

Previously, JIC also decided to acquire JSR, a domestic company that holds the world's number one market share in the photoresist (photosensitive material) sector, a core material for semiconductor manufacturing.

JIC is a fund launched by Japan in 2018 to foster new industries. Most of the funding comes from the Japanese government, with some contributions from private companies such as Toyota Motor Corporation and Sony.