Israeli semiconductor manufacturer Tower Semiconductor Ltd. (Nasdaq: TSEM;Tais:TSEMTower Technologies and Adani Group plan to build a semiconductor manufacturing plant in Taloja, on the outskirts of Mumbai, according to a tweet from Devendra Fadnavis, deputy chief minister of the western Indian state of Maharashtra. The two companies will invest $10 billion in the project.
Fadnavis posted that the factory will eventually have a capacity of 80,000 wafers per year, but in the first phase will produce 40,000 wafers per year. A person familiar with the plans told Bloomberg that the project will take three to five years to build, and the chips will be used in drones, cars, smartphones and other mobility solutions.
Related articles
Tower plans to build building factory in India – Report
“I’m looking forward to writing the next chapter of The Tower.”
Migdal Haemek-based Tower has been run for more than 20 years by CEO Russell Ellwanger, who told Globes earlier this year that India provides the biggest subsidies of any country, amounting to 75% of the cost of building a new semiconductor fab, compared with 35% in the United States and just 9% in Israel.
In 2022, Intel announced it would acquire Tower for $5.4 billion, but the deal was cancelled in August 2023 after Intel failed to get approval from Chinese regulators. Tower shares were up 0.68% on the Nasdaq yesterday, giving it a market capitalisation of $4.589 billion. The stock is up 4.33% in pre-market trading after the announcement of the joint venture with Adani.
Published by Globes (en.globes.co.il), an Israeli business news site, on September 6, 2024.
© Copyright 2024 by Globes Publisher Itonut (1983) Ltd.
