Jiejie Microelectronics once again joined hands with SMIC to launch a comprehensive strategic cooperation in the field of wafers and packaging

On December 2, Jiejie Microelectronics issued an announcement stating that the company and Shaoxing Semiconductor Manufacturing Co., Ltd. (hereinafter referred to as "SMIC") signed the Co., Ltd. Strategic Cooperation Framework Agreement", to carry out comprehensive strategic cooperation in the fields of medium and low voltage SGTMOSFET, high voltage IGBT and SJMOSFET wafers, IPM, PM and other packaging fields.
According to the strategic cooperation framework agreement to be signed this time, SMIC will fully support Jiejie Microelectronics' SGT, SJ, IGBT chip and module process research and development, provide long-term, stable and high-quality foundry services, and in engineering Mutual support. For this reason, Jiejie Microelectronics needs to pay a deposit of 200 million yuan in advance within the cooperation period (January 1, 2022 to December 31, 2022).

Among them, 200 million yuan will be paid before December 31, 2021 (including 43 million already paid in 2020, that is, only 157 million yuan will be paid before December 31, 2021).

The announcement pointed out that the two parties will explore new cooperation models and respect their intellectual property rights; the two parties should do their utmost to cooperate with each other to design and optimize wafers and packaging products. Both parties regularly provide each other with market information and technology trend information to promote good Cooperation: The two parties jointly discuss the demand and production capacity plan for the next year, reach a consensus on wafers and packaging, and deepen cooperation.

According to reports, SMIC was established in March 2018. It is a manufacturer that focuses on power, sensing and transmission applications and provides foundry services for analog integrated circuit chips and module packaging. The company's business scope includes semiconductor (silicon and various compound semiconductors) integrated circuit chip manufacturing, probe testing and testing, test packaging; advanced wafer-level packaging; and development related to integrated circuits and electronic/optical components.

The announcement shows that Jiejie Microelectronics first disclosed the announcement of signing a strategic cooperation agreement with SMIC on March 2, 2020. Starting from 2018, the transaction amount of Jiejie Microelectronics and SMIC has been increasing year by year, and the cooperation between Jiejie Microelectronics and SMIC will further deepen its strategic development in the field of wafers and packaging.

Jiejie Microelectronics stated that the signing of this agreement is conducive to the establishment of a close strategic partnership between the two parties and facilitates the innovation and development of the entire Jiejie Microelectronics platform technology and industry, which is in the interests of the company and shareholders. This agreement is a framework agreement for strategic cooperation between the two parties and does not have a significant impact on the company's operating performance, but the implementation of the agreement is expected to have a positive impact on the company's future annual operating performance.