Recent News
Selection of Recent Transactions
DATE TARGET ACQUISITION
Mar 2024 Newspace Research The drone manufacturer raised ₹273 Cr. in a fundraise led by Cornerstone Ventures
Mar 2024 Bonatras Jupiter Wagons acquired the auto component manufacturer for ~₹270 Cr.
Mar 2024 Biocon Biologics Eris life sciences acquired the branded formulations of Biocon for ₹1,242 Cr.
Mar 2024 Lohum Cleantech The Li-Ion battery manufacturer raised ~₹447 Cr. in a fundraise led by Singularity AMC
Mar 2024 Vodafone ATC Telecom acquired a 2.9% stake for ₹1,600 Cr. as a strategic investment round
Mar 2024 Vasant Chemicals ICIG acquired a majority stake in the specialty chemicals manufacturer for an undisclosed amount
Semiconductor Packaging – the big rush in India!
Semiconductor packaging refers to the process of enclosing integrated circuits (ICs) or microchips, in a protective casing or package). The packaging serves several important functions such as protecting the semiconductor components from damage, providing electrical connections for input and output signals, dissipating heat generated, etc.
While India has been trying to build mega semiconductor factories, it is simultaneously looking at different approaches to capture a share of the global semiconductor supply chain. An important aspect of manufacturing semiconductor chips is packaging and testing (representing about 15% of the semicon value chain) which could be outsourced by a semiconductor foundry to a specialized 3rd party or OSAT (Outsourced Semiconductor Assembly and Testing). OSAT providers have expertise in packaging technologies; selecting appropriate package types (legacy to advanced packages), mounting the chips onto packages, connecting them to external pins or solder balls and encapsulating the chips in protective materials. ATMP (Assembly, Testing, Marking and Packing) and OSAT are terms that are used interchangeably; ATMP is a broader term and is used when semicon manufacturers perform the packing and testing inhouse.
The overall size of the global OSAT industry is estimated to be ~US$ 45 billion and growing at 6% - 9% wherein Taiwan and China dominate with a combined market share of 75 %. To push for the development ofthe semiconductors manufacturing ecosystem in India, the government has put together an outlay of over US$ 10 billion which includes fiscal support of 50% of capex for setting up semiconductor ATMP/OSAT facilities; an additional 20% support from the state is also available. As OSATs build capability by learning the product, technology and process, they could then expand along the semiconductor value chain.
Praveen Nair
Director
IMAP India