Diodes Incorporated (Nasdaq: DIOD), a leading global
manufacturer and supplier of high-quality application specific
standard products within the broad discrete, logic, analog and
mixed-signal semiconductor markets, today announced it has
completed the transaction to acquire Texas Instruments’ (“TI”)
wafer fabrication facility and operation located in Greenock,
Scotland (“GFAB”).
As previously announced, Diodes will integrate the Greenock
facility and fab operations, including the transfer of all GFAB
employees to Diodes. In addition, Diodes is extending offers for
permanent employment to 18 contractors who have been supporting the
GFAB operation. As part of a multi-year wafer supply agreement,
Diodes will continue to manufacture TI’s Analog products from GFAB
as TI transfers into its other wafer fabs. The 318,782 square-foot
facility has a potential capacity of up to 21,666 wafer starts or
256,000 8” equivalent layers per month, depending on product
mix.
“We are pleased to successfully complete this transaction and
expect it to be immediately accretive,” said Diodes’ President and
Chief Executive Officer, Dr. Keh-Shew Lu. “The GFAB acquisition is
well aligned to our strategic growth initiatives, especially our
expansion in the automotive and industrial markets. We are also
excited by the opportunity to add GFAB’s strong engineering
capability and additional wafer fab capacity and anticipate GFAB
will play a significant role in achieving our revenue and profit
dollar growth goals. With the close of the transaction, we will now
turn our attention to aggressively ramping new wafer fab processes
and capabilities at GFAB to support Diodes’ strategic plan.”
“In addition to welcoming the GFAB team, Diodes extends our
continued appreciation to the Scottish Government, Scottish
Development International and Inverclyde Council, who have
supported us throughout this process,” said Dr. Lu.
Commenting on the closing of the transaction, Derek Mackay
MSP, Scottish Government Cabinet Secretary for the Economy, said,
“I am grateful to Diodes and Texas Instruments for the way in which
they have worked with each other and the Scottish Government and
our agencies and partners to reach this successful conclusion. The
acquisition of GFAB marks a new and exciting chapter for the plant,
which will see continued production and employment in
Greenock under Diodes. We look forward to working with Diodes
for many years to come.”
Inverclyde Council Leader, Councillor Stephen McCabe, said, “It
is excellent news that the deal has been agreed upon between Texas
Instruments and Diodes. These deals can be complex and difficult,
and it is to the credit of both companies that it has been
concluded so quickly. Texas Instruments has been a strong and
active part of the business community in Inverclyde for many years,
and we hope that the smooth transition to Diodes will now see them
become as much of an active feature of the strong and vibrant
Inverclyde business sector.”
Also commenting on the completion of the acquisition, Paul
Lewis, managing director of Scottish Development International,
said, “It gives me great pleasure to see this project reach a
positive outcome and secure these important jobs on-site. We look
forward to working with Diodes as it establishes its presence in
Scotland.”
About Diodes Incorporated
Diodes Incorporated (Nasdaq: DIOD), a Standard and Poor’s
SmallCap 600 and Russell 3000 Index company, is a leading global
manufacturer and supplier of high-quality application specific
standard products within the broad discrete, logic, analog, and
mixed-signal semiconductor markets. Diodes serves the consumer
electronics, computing, communications, industrial, and automotive
markets. Diodes’ products include diodes, rectifiers, transistors,
MOSFETs, protection devices, function-specific arrays, single gate
logic, amplifiers and comparators, Hall-effect and temperature
sensors, power management devices, including LED drivers, AC-DC
converters and controllers, DC-DC switching and linear voltage
regulators, and voltage references along with special function
devices, such as USB power switches, load switches, voltage
supervisors, and motor controllers. Diodes also has timing,
connectivity, switching, and signal integrity solutions for
high-speed signals. Diodes’ corporate headquarters and Americas’
sales office are located in Plano, Texas and Milpitas, California.
Design, marketing, and engineering centers are located in Plano;
Milpitas; Taipei, Taiwan; Taoyuan City, Taiwan; Zhubei City,
Taiwan; Manchester, England; and Neuhaus, Germany. Diodes’ wafer
fabrication facility is located in Manchester, with an additional
facility located in Shanghai, China. Diodes has assembly and test
facilities located in Shanghai, Jinan, Chengdu, and Yangzhou,
China, as well as in Hong Kong, Neuhaus, and Taipei. Additional
engineering, sales, warehouse, and logistics offices are located in
Taipei; Hong Kong; Manchester; Shanghai; Shenzhen, China;
Seongnam-si, South Korea; Munich, Germany; and Tokyo, Japan, with
support offices throughout the world.
Cautionary Information Regarding Forward-Looking
Statements
Safe Harbor Statement Under the Private Securities Litigation
Reform Act of 1995: Any statements set forth above that are not
historical facts are forward-looking statements that involve risks
and uncertainties that could cause actual results to differ
materially from those in the forward-looking statements. Such
statements include statements as to: the expected benefits of the
acquisition, including the acquisition being immediately accretive;
the expected benefits of the new multi-year wafer supply agreement;
the expected significant revenue and profit dollar growth over the
next several years; and other statements identified by words such
as “estimates,” “expects,” “projects,” “plans,” “will” and similar
expressions. Potential risks and uncertainties include, but are not
limited to, such factors as: the possibility that the transaction
may not be consummated, including as a result of any of the
conditions precedent (including the failure to obtain any required
approvals); the risk of global market downturn conditions and
volatilities impacting the completion of the acquisition; the risk
that GFAB will not be integrated successfully into Diodes’ overall
business; the risk that the expected benefits of the acquisition
may not be realized, including the realization of the accretive
effect of the acquisition; the risk that GFAB’s standards,
procedures and controls will not be brought into conformance within
Diodes’ operation; difficulties in transitioning and retaining GFAB
employees following the acquisition; difficulties in consolidating
facilities and transferring processes and know-how; the diversion
of our management’s attention from the management of our business;
Diodes may not be able to maintain its current growth strategy or
continue to maintain its current performance, costs and loadings in
its manufacturing facilities; risks of domestic and foreign
operations, including excessive operation costs, labor shortages,
higher tax rates and Diodes’ joint venture prospects; unfavorable
currency exchange rates; and the impact of competition and other
risk factors relating to our industry and business as detailed from
time to time in Diodes’ filings with the United States Securities
and Exchange Commission.
View source
version on businesswire.com: https://www.businesswire.com/news/home/20190401005145/en/
Media Contact:Diodes IncorporatedJulie HollandVP,
Corporate OperationsP: 972-987-3900E: Julie_Holland@diodes.com
Company Contact:Diodes IncorporatedLaura MehrlDirector,
Investor RelationsP: 972-987-3959E: laura_mehrl@diodes.com
Investor Relations Contact:Shelton GroupLeanne K.
Sievers, PresidentP: 949-224-3874E: lsievers@sheltongroup.com
Diodes (NASDAQ:DIOD)
Historical Stock Chart
From Apr 2024 to May 2024
Diodes (NASDAQ:DIOD)
Historical Stock Chart
From May 2023 to May 2024