Taiwanese company Winbond Electronics Co., Ltd. declare Signed a share purchase agreement with Infineon Technologies LLC, a subsidiary of Infineon Technologies AG, to acquire 100% of the shares of Infineon’s NOR Flash and FRAM businesses. The underlying value of the transaction is $1.12 billion. This amount may be adjusted prior to closing.
The transaction, which has been approved by Winbond’s board of directors, is expected to help the company expand global research and development capabilities, improve supply capabilities and enhance global customer services. Winbond announced plans to attract qualified experts from more than 10 countries and expand its network of supply chain partners.
The transaction is expected to close in the second half of 2027, subject to necessary regulatory approvals. Upon completion of the transaction, the company will be renamed Spansion and operate as an independent entity headquartered in the United States.
“We are pleased to reinstate the Spansion name and trademark. Spansion is an industry pioneer; it has made significant contributions to the growth of the IT industry through numerous innovations and technological breakthroughs. We are honored to continue doing business under this name once again.” — Said Jiao Yuzheng, Chairman of the Board and Chief Executive Officer of Winbond Electronics.
Image source: Infineon
according to TrendForce The Economic Daily and Commercial Daily cited the transaction as the largest overseas memory business acquisition in Taiwan’s history, and is expected to increase Winbond’s global NOR Flash market share to more than 30%. TrendForce said the deal and the revival of the Spansion brand as an independent entity after an 11-year hiatus are expected to increase the company’s NOR flash memory market share to about 34% combined.
According to the Economic Daily, the business acquired by Winbond is equivalent to almost half of its existing NOR Flash business, which will significantly expand the company’s market advantage over its competitors. In the future, the main barrier to implementing the ultimate technology will be regulatory requirements. As MoneyDJ points out, the focus will be on Winbond’s ability to successfully integrate Infineon’s technology and work with its customers while ensuring compliance with national security and antitrust requirements related to this acquisition and plans for capacity expansion in key markets.
This transaction comes at a favorable time in the NOR Flash market, when demand is changing Towards high prices. According to TrendForce statistics, contract prices have increased by 100-120% on average and are expected to remain high in the second half of the year. At the same time, prices for high-capacity products (256 MB and above) are expected to increase by another 90-110%.
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