Passive components maker Walsin Technology has announced it will acquire shares in Japanese components vendor Soshin Electric aiming to broaden its product portfolios and expand sales in Japan and other overseas markets.
The company will spend NT$990 million (US$34.68 million) purchasing a minimum of 35.64% and a maximum of 50.10% shares in Sonshin on the open market through its Japanese subsidiary Kamaya Electric, with delivery of the stocks purchased set to be completed on January 12, 2021, Walsin said in a statement, adding that after the acquisition, Kamaya will become the largest shareholder in Soshin.
Soshin's brand, product customization capability and R&D prowess can help Walsin Group better promote sales in Japan and other markets while upgrading the group's product portfolios, business scales and customer bases, the statement continued.
Soshin now is mainly engaged in production of capacitors, filters, EMC protection components, overvoltage protection components, and thick film substrates. In particular, it boasts deep deployments in LTCC (low-temperature co-fired ceramics) filters suitable for a variety of applications such as industrial equipment, automotive electronics, healthcare, telecom base stations and satellite equipment, according to industry sources.
Walsin now delivers LTCC shipments mostly to handset vendors in China, and its takeover of Soshin can help develop clients in other markets and extend LTCC applications to higher-end segments including satellite broadcast, the sources said.
Walsin has said it will expand LTCC production capacity in Taiwan by 10% annually in the next five years, and will integrate shipments of LTCC filters and protective components from its domestic subsidiary Inpaq Technology to better explore 5G RF business opportunities.
Article translated by Willis Ke
