Infineon Technologies to acquire Canada-based GaN Systems for $830m
German semiconductor manufacturer Infineon Technologies will acquire Canada-based GaN Systems in an all-cash transaction valued at $830 million.
GaN Systems offers GaN power semiconductors for industries such as consumer electronics, data center servers, power supplies, industrial motors, renewable energy systems, and automotive electronics.
Jochen Hanebeck — Infineon Technologies CEO said: “GaN technology is paving the way for more energy-efficient and CO2-saving solutions that support decarbonization.
“Adoption in applications like mobile charging, data center power supplies, residential solar inverters, and onboard chargers for electric vehicles is at the tipping point, leading to a dynamic market growth.
“The planned acquisition of GaN Systems will significantly accelerate our GaN roadmap, based on unmatched R&D resources, application understanding and customer project pipeline.
“Following our strategy, the combination will further strengthen Infineon’s leadership in Power Systems through mastery of all relevant power technologies, be it on silicon, silicon carbide or gallium nitride.”
Infineon Technologies to acquire Canada-based GaN Systems for $830m. Photo courtesy of GaN Systems.
Infineon Technologies anticipates to fund the planned acquisition of GaN Systems from existing liquidity.
Jim Witham — GaN Systems CEO said: “The GaN Systems team is excited about teaming up with Infineon to create highly differentiating customer offerings, based on bringing together complementary strengths.
“With our joint expertise in providing superior solutions, we will optimally leverage the potential of GaN. Combining GaN Systems’ foundry corridors with Infineon’s in-house manufacturing capacity enables maximum growth capability to serve the accelerating adoption of GaN in a wide range of our target markets.
“As an integrated device manufacturer with a broad technology capability, Infineon enables us to unleash our full potential.”
The closing of the acquisition is subject to regulatory approvals and certain customary closing conditions.
In February 2022, Infineon Technologies invested over €2 billion to build a third module at its location in Kulim, Malaysia, to double down on wide bandgap (silicon carbide and gallium nitride) semiconductors, with the first wafers anticipated to be available in the second half of 2024.