China lifts antitrust review of ASE and SPIL mergers
On the 25th, ASE Technology Holding Co., Ltd. (ASE) issued an announcement stating that its merger with Siliconware Precision Industries Co., Ltd. (SPIL) had received a notice from the Mainland China Market Supervision and Administration Bureau's Antimonopoly Bureau to lift the merger restrictions.
Both ASE and SPIL are leading companies in the semiconductor packaging and test industry. According to the 2019 ranking, ASE is the world's number one company in the semiconductor packaging and test market and SPLI is fourth. The merger of the two companies will account for 40% of the global semiconductor packaging and test market, which is much larger than other competitors in size.
Industry insiders said that the merger between leading enterprises is mainly to expand the scale, reduce the operating costs of enterprises, and deal with competition from other opponents in a group form. Through mergers to reduce competition within the industry, a larger scale advantage can be obtained in the context of intensified overall market competition.
The article is originally written by @SemiMediaEdit posted on SemiMedia. All rights reserved.