● China Resources was changed to the actual controller of Changdian Technology

On March 26, Changdian Technology announced through an announcement that the company's top two shareholders, National Integrated Circuit Industry Investment Fund (hereinafter referred to as the "big Fund") and Core-Electric Semiconductor (wholly-owned subsidiary) signed a "share transfer agreement" with Rock Hong Kong respectively. The Large Fund intends to transfer 174 million shares of the Company (about 9.74% of the total share capital of the Company) held by it to the Rock Hong Kong or its affiliates at the price of 29 yuan per share by means of agreement transfer; Semiconductor intends to transfer 228 million shares (12.79% of the total share capital of the Company) held by it to Rock Hong Kong or its affiliates at the same price by means of an agreed transfer. The total transfer price of this transaction is 11.691 billion yuan.

It is worth noting that before the completion of the share transfer, JCET Technology has been in a state of no actual controller for many years, and the company's former top two shareholders are large funds and SMIC Semiconductor, a subsidiary of SMIC, respectively holding 13.24% and 12.79%. If the successful transfer of shares is completed, Rock Hong Kong or its affiliates will hold 403 million shares of the company, accounting for 22.54% of the total share capital of the company, and become the controlling shareholder of Changdian Technology. The controlling shareholder behind Rock Hong Kong is the group, which means that China Resources will become the new real controller of Changdian Technology. At the same time, China Resources Group is the indirect controlling shareholder of China Resources Microelectronics Co., LTD. (hereinafter referred to as "CR Micro"), and China Resources is the actual controller of CR Micro.

China Resources Microelectronics is mainly engaged in the design, production and sales of power semiconductors, and also provides open wafer manufacturing, packaging and testing services. As of the date of this announcement, there is overlap or potential competition between CR Micro and JCET in the external closed test business. In order to avoid competition in the industry, China Resources has now signed a letter of commitment with the shareholders of Changdian Technology.

At present, the equity transfer has not been formally finalized, China Resources said that it will convene a board of directors to review and approve, and need to obtain the review and approval of state-owned assets regulators and other legal agencies.

● Review the history of Changdian Technology

Formerly known as Jiangyin Transistor Factory, JDC has grown into an integrated circuit manufacturing and technical service provider, mastering highly integrated wafer-level packaging (WLP), 2.5D/3D packaging, system-level packaging (SiP), high-performance flip-chip packaging and advanced lead bonding technology. The company's products, services and technologies cover mainstream integrated circuit system applications, including network communication, mobile terminals, high performance computing, vehicle electronics, big data storage, artificial intelligence and Internet of Things, industrial intelligent manufacturing and other fields.

From the perspective of global deployment, Changdian Technology has six production bases in China, South Korea and Singapore, including Jiangyin Binjiang factory, Jiangyin Chengdong factory, Chuzhou factory, Suqian factory, South Korea Incheon factory, Singapore Yishun factory; And two research and development centers, including the China Research and Development Center (National Engineering Laboratory for High-density Integrated Circuits) in Jiangyin, Jiangsu Province, and the Korea Research and Development Center.

Since the beginning of this year, Changdian Technology has continued to expand its business layout, adding car gauge level chips and cutting into the memory track. On February 23, Changdian Technology announced that its holding company Changdian Technology Automotive Electronics (Shanghai) received a capital increase of 4.4 billion yuan from shareholders such as the second phase of the National Integrated Circuit Industry Investment Fund, Shanghai State-owned Assets Management Co., LTD., and Shanghai Integrated Circuit Industry Investment Fund (second phase), and the first phase of the capital increase of 1.551 billion yuan has been in place. The remaining capital increase funds will be in place in three phases according to the agreement, fully supporting JCET to accelerate the construction of the company's first advanced packaging base for mass production of vehicle gauge chip finished products in Shanghai Lingang.

● Advanced packaging is developing rapidly
Advanced packaging is the foundation that drives the expansion of Moore's Law. Advanced packages include multi-chip modules, 3D ics, 2.5D ics, heterogeneous integration, fin-out wafer-level packages, system-level packages, quilted packages, combining logic (processor) and memory in a single package, chip stacking, multiple cores or chips in packages, and combinations of these technologies.
As the market continues to put forward new requirements for advanced packaging technology, packaging and testing manufacturers are strengthening the development of layout technology. Among them, Licheng Technology has signed a letter of intent with Huabang Electronics to cooperate in the development of 2.5D (Chip on Wafer on Substrate) /3D advanced packaging business, and decided to jointly enter the advanced packaging business; Ase began to develop 2.5D and 3D advanced packaging technology; Tongfu Micro has a variety of Chiplet packaging solutions, has 7nm, 5nm, Chiplet and other advanced technology advantages; Huatian Technology also has 5nm chip packaging technology, Chiplet packaging technology has also been mass produced.
At present, the company has covered SiP, WL-CSP, 2.5D, 3D, etc. At the same time, the XDFOI Chiplet high-density multidimensional heterogeneous integration series process has entered the stable mass production stage as planned. The company emphasizes that Chiplet, 2.5D, 3D and other popular advanced packaging technologies are the key focus of the company in the future. In response to the current heat of AI artificial intelligence, Chang Electric Technology has said that AI demand has just begun to start, the current supply and demand situation of the AI market is less than demand, and the company's related production capacity for AI will grow significantly in the next few years. The company is optimistic that AI's demand for high-performance advanced packaging will continue to grow. After JCET joins the territory of China Resources, it is expected to produce synergies with other business segments of China Resources, and promote its further development in the field of semiconductor packaging and testing.