ASE Technology plans to acquire Analog Devices' Penang facility to enhance its global manufacturing capabilities and ensure resilient supply chain operations.

Target Information

ASE Technology Holding Co., Ltd. (ASE), a prominent provider of semiconductor manufacturing services, has announced its intention to acquire Analog Devices Sdn. Bhd.’s facility located in Penang, Malaysia. Established in 1994, the Penang facility spans over 680,000 square feet and is strategically situated within the Bayan Lepas industrial hub. This acquisition aims to enhance ASE's global supply chain resilience and diversify its manufacturing capabilities, enabling the company to better meet the increasing demands of its clients in the semiconductor industry.

Upon completion of the acquisition, ASE will fully integrate the ADI Penang operations and leverage this facility not only to advance its own manufacturing capabilities but also to provide dedicated services to ADI and other clients. The transaction underscores ASE's commitment to expanding its footprint in the semiconductor sector, particularly in the areas of integrated circuit packaging and testing.

Industry Overview in Malaysia

The semiconductor industry in Malaysia plays a critical role in the global supply chain, with the country being one of the top exporters of electronics in the Southeast Asian region. The economic environment is characterized by rapidly evolving technology and an increasing demand for inno