Transphorm announces acquisition of AFSW wafer fab

Update: August 4, 2021

According to Businesswire, Transphorm, a leading supplier of high-reliability, high-performance gallium nitride (GaN) power conversion products, announced that it has successfully acquired 100% of the AFSW wafer fab, a JV with Fujitsu Semiconductor Limited (FSL), located in Aizu Wakamatsu, Japan. The transaction was completed through Ganovation, a joint venture company recently established by Transphorm and JCP Capital.

After the completion of the acquisition, Transphorm will own 25% of the actual equity in AFSW, which is lower than the previous 49%. This will reduce Transphorm’s direct capital expenditure on AFSW by approximately 50%, thereby achieving more efficient profit and loss through investment in GaN technology and applications.

“We are delighted to partner with Transphorm in AFSW, and its new parent entity GaNovation, a joint venture with Transphorm,” remarked David Cong, Founder and Managing Partner, JCP Capital. “GaNovation will not only bring significant capital to AFSW, the world’s premier GaN power wafer fab, over the next several years to expand GaN wafer manufacturing, but also contribute to growing the GaN product business together with our portfolio ecosystem at a faster vector, especially in the area of GaN-based fast chargers and adapters.”

Primit Parikh, co-founder and President of Transphorm, stated, “The partnership with GaNovation and JCP Capital is the ideal next step in Transphorm’s rapid growth and manufacturing of its highest quality-highest reliability GaN wafers and products, continuing our asset-light vertically integrated model with strong IP dominance and protection. We also thank Fujitsu Semiconductor for its long-standing partnership as well as its commitment to assist in the successful transition of AFSW going forward.”

“FSL and AFSW have been working closely with the Transphorm and the JCP Capital team for this transaction that continues forward the strong legacy of semiconductor manufacturing at AFSW in the exciting area of GaN semiconductors. Transphorm’s excellence in GaN, with the financial strength brought by JCP Capital, will make AFSW an even stronger manufacturing source for continued success,” commented Kagemasa Magaribuchi, President and Representative Director, FSL. “FSL will also continue to work with AFSW through transition services during the mutually agreed period of time.”