New | China’s Tsinghua Unigroup takes stake in US chip maker Lattice, sparking rally in Lattice shares in the US
Chinese firm controlled by Tsinghua University, which counts President Xi Jinping among alumni
China’s Tsinghua Unigroup unveiled a stake of roughly 6 per cent in Lattice Semiconductor Corp on Wednesday, sending shares of the US chip manufacturer soaring 18 per cent on speculation of a possible acquisitions
The move is the latest sign of Tsinghua’s desire to be a part of the US semiconductor industry after it scrapped plans to acquire Micron Technology Inc and invest in Western Digital Corp.
Tsinghua said in a regulatory filing its stake in Lattice was for “investment purposes,” but that it may also enter into discussions with management about a “possible commercial agreement.” It added that it could buy more shares or sell its stake.
Reuters reported in February that Lattice had attracted interest from an unidentified Chinese buyer and had decided to explore a sale.
Based in Portland, Oregon, Lattice makes programmable logic chips and related software used in a variety of items from smartphones to cars.
Its shares rose 99 cents to US$6.36, giving it a market capitalization of roughly US$740 million.