August 27, 2024 /SemiMedia/ — BelGaN, a prominent GaN (gallium nitride) semiconductor foundry based in Oudenaarde, East Flanders, Belgium, has filed for bankruptcy, putting 440 employees at risk of losing their jobs.

Since its establishment in 1983, BelGaN has been dedicated to transitioning from silicon chip technology to innovative GaN technology, amassing over 30 years of expertise in automotive semiconductor production. Despite notable progress in GaN technology, including the early 2024 announcement of its “BEL1 650V eGaN platform” securing multiple customer orders and preparing for mass production, the company’s financial struggles culminated in filing for bankruptcy protection on July 30.

BelGaN has faced significant challenges in its recent efforts to adopt new chip technology, with its transformation efforts failing to deliver results as quickly as anticipated. This has led to severe cash flow issues, making it increasingly difficult for the company to sustain its operations. Nonetheless, BelGaN has attracted several potential buyers, including the Sweden-Finland consortium 7 Semiconductors Oy, headquartered in Helsinki, which has made a €130 million acquisition offer.

Additionally, BelGaN’s former owners and Belgian entrepreneur Guido Dumarey have also expressed interest in acquiring the company’s assets, particularly its 6-inch and 8-inch wafer fabrication facilities, although specific financial details have not been disclosed.

The future of BelGaN now hinges on the actions of these potential buyers. While the company’s financial troubles have overshadowed its technological advancements, its cutting-edge technology and specialized expertise continue to be significant draws for investors.