SK Hynix, the world's second-largest memory chipmaker, said on Friday it would acquire South Korean foundry Key Foundry for 576 billion won ($492 million).
Reuters reported that SK Hynix said in a statement that the 8-inch wafer foundry mainly produces chips such as power management, display driver and microcontroller unit semiconductors (MCU).
SK Hynix said it expects the acquisition to double its current 8-inch foundry capacity. The company already owns chip foundry System IC.
It is understood that SK Hynix decided to acquire Key Foundry after considering several options to expand its foundry capacity.
According to previous reports by South Korean media, SK Hynix has been negotiating to acquire Key Foundry since the first half of this year.
Public information shows that Key Foundry was established in September 2020 and was spun off from the foundry department of MagnaChip Semiconductor.
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