On the evening of March 9, Yangtze Optical Fibre And Cable Joint Stock Limited Company(601869) issued an announcement on foreign investment, saying that a bidding consortium has been established and plans to invest about 780 million yuan to purchase relevant shares of Wuhu tus Semiconductor Co., Ltd. and Wuhu terahertz Engineering Center Co., Ltd., which are publicly listed in Anhui Changjiang property exchange. If the bidding is successful, tus semiconductor and terahertz Engineering Center will become Yangtze Optical Fibre And Cable Joint Stock Limited Company(601869) subsidiaries.
According to the announcement, tus semiconductor and terahertz Engineering Center is mainly engaged in the process R & D and manufacturing of third-generation semiconductor products represented by silicon carbide (SIC) and gallium nitride (GAN), mainly including the epitaxy of silicon carbide and gallium nitride, the manufacturing of third-generation semiconductor power and radio frequency and other related chips R & D, production and sales of the whole industrial chain such as power module and power single tube packaging and testing, with professional OEM production capacity and technology R & D capacity. Tus semiconductor and terahertz Engineering Center is the first batch of major emerging industry projects in Anhui Province, and was rated as “specialized and new” small and medium-sized enterprises in Anhui Province in 2021 in January 2022. At present, tus semiconductor has successfully trial produced 6-inch wafer samples, and its layout in the third generation semiconductor industry is at the forefront of China.
As a technology intensive and capital intensive industry, while enjoying the characteristics of high entry barriers and strong customer stickiness, the semiconductor industry will also produce large investment costs in the early stage, especially the high depreciation of fixed assets and R & D investment, which will put some pressure on the company’s financial situation. This time, Yangtze Optical Fibre And Cable Joint Stock Limited Company(601869) chose to establish a bidding consortium for bidding, of which Yangtze Optical Fibre And Cable Joint Stock Limited Company(601869) plans to invest about 780 million yuan; The overall investment of the bidding consortium is about 1.43 billion yuan, which is the listing reserve price Yangtze Optical Fibre And Cable Joint Stock Limited Company(601869) not only ensures the control of the target company, but also disperses the financial pressure and risks.
The third generation semiconductor material industry is a key industry encouraged by China. The national development and Reform Commission, the Ministry of science and technology, the Ministry of industry and information technology and other ministries and commissions have recently issued relevant policies to support the development of the third generation semiconductor industry, and many places across the country have also put forward development plans accordingly Yangtze Optical Fibre And Cable Joint Stock Limited Company(601869) this move is in line with the national strategic development direction. Meanwhile, one of the core advantages of Yangtze Optical Fibre And Cable Joint Stock Limited Company(601869) is that it has achieved global leading technological R & D and production efficiency advantages in the preform part, the core of the optical fiber and cable industry chain. After more than 30 years of high-end manufacturing accumulation, the company also has experience in the technology and manufacturing of silicon related materials, which is expected to have a positive effect on its expansion in the third generation semiconductor industry.
In addition, for Yangtze Optical Fibre And Cable Joint Stock Limited Company(601869) , its main business optical fiber and cable industry has improved significantly since the second half of 2021. In the centralized procurement of ordinary optical cable products completed by China Mobile in October 2021, the demand scale of centralized procurement is 143 million core km, an increase of about 20% over the previous time, while the average unit price of more than 60 yuan / core km is more than 50% higher than the previous time Yangtze Optical Fibre And Cable Joint Stock Limited Company(601869) won the bid in this centralized purchase, with a share of 19.96%, ranking first.
In recent years, Yangtze Optical Fibre And Cable Joint Stock Limited Company(601869) on the basis of ensuring the global leadership of its main business, continues to promote the strategic layout of diversification and internationalization. Its diversification involves many fields, such as optical module, communication network engineering construction, data center wiring, submarine cable laying and so on Yangtze Optical Fibre And Cable Joint Stock Limited Company(601869) chooses to layout the semiconductor industry when the industry turns into the business cycle, which shows the timing and strategic determination of Yangtze Optical Fibre And Cable Joint Stock Limited Company(601869) diversification strategy.
