Welcome to this week’s edition of top stock market highlights.
NXP Semiconductors (NASDAQ: NXPI)
NXP Semiconductors NV is partnering with Vanguard International Semiconductor Corp (“Vanguard”) to build a US$7.8 billion chip wafer plant in Singapore.
Vanguard is partially owned by Taiwan Semiconductor Manufacturing Co (NYSE: TSM), the world’s largest semiconductor manufacturer.
The announcement is a big win for Singapore as it aspires to attract more technology giants to set up shop here.
Both Vanguard and NXP will begin construction in the second half of this year with initial production slated for 2027.
Vanguard will invest US$2.4 billion for a 60% stake in the joint venture while NXP will inject US$1.6 billion for a 40% stake.
After this initial US$4 billion investment, each firm will then provide US$1.9 billion to support the plant’s long-term capacity.
This new facility will construct 300 mm wafers and by 2029, it should produce 55,000 such wafers per month.
The wafers will be used to produce mature technology-node chips used by...
