Wisdom Road Capital recently announced the acquisition of ePAK, the world’s top four semiconductor vehicle supplier. As China becomes the core of the third semiconductor industry transfer, the rate of chip domestic production will further increase. ePAK’s vehicles almost run through the entire life cycle of chip production. At the same time, it caters to the golden age of China’s semiconductor industry development. The wafer manufacturing capacity is in line with the rhythm of large-scale mass production. Whether it is from the perspective of national strategy or from the perspective of objective laws of industrial development, ePAK has great potential for future development. After the completion of the acquisition, ePAK will maintain its original team, factories and global offices. As a hard technology private equity management company with many years of global mergers and acquisitions In order for ePAK to deeply graft China’s massive business and high-quality customer resources in the industry, and to further increase its market share, it plans to build it into the top leading supplier of semiconductor vehicles in China and even the world.
Established in 1999, ePAK is a manufacturer specializing in providing a full range of high-precision load-bearing and transportation products for semiconductor automated manufacturing processes. The core management team are veterans who have worked in the semiconductor industry for more than 20 years. They have three product lines: Wafer Handling Products, IC Shipping & Handling Products and Disk Drive Products , The application field almost covers the entire semiconductor industry chain, and the scale effect is significant. The new product line FOSB (12-inch wafer carrier) can already be put on the market in 2021.
ePAK has nine sales and application engineering offices around the world, and has established a world-class manufacturing and design center in Shenzhen, China, to support the company’s global zero inventory production distribution network. ePAK’s products are sold to many top global customers, including semiconductor companies, system OEM integrators, and IC packaging and testing operators. There are more than 500 customers in the semiconductor industry chain, and the top 10 customers have maintained a cooperative relationship for more than 15 years. 2021 revenue volume is expected to exceed 100 million U.S. dollars, and achieve high growth for many consecutive years.
From a technical point of view, each transportation and process step in wafer processing requires unique materials, designs, and carriers. As we all know, chips are expensive and easily affected by misoperation and pollution. As a consumable in the production process of high value-added semiconductors, carriers have high reliability, high temperature resistance, friction resistance, low release, low moisture absorption, and high wearability. Permeable Electronic materials related characteristics, but also need to have the excellent characteristics of anti-static, waterproof and highly customized. The technical requirements are extremely high, and ePAK has only focused on deep cultivation of semiconductor carriers for 20 years. In terms of technology precipitation and customer accumulation, it has unparalleled advantages of other companies.
From the perspective of industrial transfer, China’s semiconductor manufacturing ecology is gradually maturing, and the degree of integration is gradually increasing. China plans to build the world’s largest number of fabs from 2017 to 2021, and the demand for vehicles will blow out in the future. With rapid growth, the localization of silicon wafer manufacturers and the localization of supporting capabilities in the industrial chain has become the key to my country’s semiconductor industry chain construction. At present, large wafer fabs and wafer fabs are deeply tied to carrier manufacturers to achieve the industrial chain. Effective downstream linkages to ensure the security of the supply chain, while China’s current industrial supporting capabilities are relatively weak. The semiconductor vehicle industry currently has a serious transnational oligopoly, and there is no mature wafer carrier supplier in China. The multinational acquisition of ePAK has the strategic significance of complementing the shortcomings of domestic vehicles and ensuring the safety and control of the industrial chain.
About Zhilu Capital
Beijing Zhilu Asset Management Co., Ltd. is one of the important members of Zhongguancun Rongxin Industry Alliance (referred to as Rongxin Alliance). Zhilu Capital is a globalized industrial investment institution with an international background and rich practical experience. management team. Leading a series of large-scale semiconductor holding investment projects: the largest semiconductor cross-border M&A project in China’s history, with a transaction size of more than 2.7 billion U.S. dollars; and Qualcomm jointly established a mobile chip and IoT chip design company in China, Lengsheng Technology; acquired UTAC, the world’s top three semiconductor integrated circuit packaging and testing company for automotive electronics; acquired Huba Control, the world’s largest industrial pressure sensor company under Siemens; and established a joint venture with the world’s largest semiconductor materials and equipment company to establish the world’s top three AAMI, a leading semiconductor lead frame company. Zhilu Capital insists on creating value for investors and partners, deploying from the upstream and downstream of the industrial chain to help the healthy growth of the invested company.
About Rongxin Alliance
Zhongguancun Rongxin Financial Information Industry Alliance (“Rongxin Alliance”) is a non-profit corporation legal person approved by the Beijing Municipal Civil Affairs Bureau to support the ecological development of strategic emerging industries. There are more than 200 member units, covering leading companies in domestic and foreign emerging technology fields such as automotive electronics, mobile communications, Internet of Things, high-definition displays, equipment, high-end equipment and new materials.
Rongxin Alliance takes the three major investment institutions of Jianguang Assets, Zhilu Capital and Huitong as the main body, and focuses on investing in the SMART field (S=Semiconductors semiconductor industry chain, M=Mobile mobile technology, A=Automotive automotive electronics, R=Robotic/Intelligent Manufacturing intelligent manufacturing, T=IoT (Internet of Things), in-depth layout of the entire semiconductor industry chain.