By Greg Gao

(JW Insights) Aug 28 -- Jingneng Microelectronics(晶能微电子), the chip unit affiliated with Chinese auto giant Geely, announced on August 26 its intention to sign an agreement with Qianjiang Motorcycles to invest RMB123 million($16.9 million) in acquiring 100% equity of its subsidiary Zhejiang Yizhong Packaging Technology(浙江益中封装技术). 

It’s worth noting that both Jingneng Microelectronics and Qianjiang Motorcycles are controlled by Li Shufu, the founder of Geely. Industry experts believe that Geely aims to bolster its independent power semiconductor business through this acquisition, in a bid to accelerate the momentum of its electric vehicle development.

Yizhong Packaging has been operating steadily in the field of advanced packaging for ten years. The company specializes in single-tube advanced packaging with an annual production capacity of 360 million units and has maintained profitability for the past five years. After the acquisition, Jingneng Microelectronics will coveer its product portfolio in shell sealing modules, plastic sealing modules, and single-tube products. 

Jingneng plans to continue increasing its investment, gradually upgrading existing production lines to industry-grade ones, and establishing new automotive semiconductor production lines, reported JW Insights.

Jingneng Microelectronics, incubated by Geely in 2022, concentrates on developing automotive IGBT chips and modules, SiC devices, and low- and medium-voltage MOSFETs. The company has the comprehensive capability of “chip design + module manufacturing + vehicle certification,” supplying markets such as NEVs, electric motorcycles, photovoltaics, and energy storage.

Recently, Jingneng announced the successful production of two FRD products and completed the design of four automotive power devices.