A&O Shearman advises NXP on its joint venture with VIS to build and operate a 300mm semiconductor fab

The joint venture fab will support 130nm to 40nm mixed-signal, power management and analog products, targeting the automotive, industrial and consumer end markets. The total cost of the initial build out is anticipated to be USD7.8 billion.

NXP is the trusted partner for innovative solutions in the automotive, industrial & IoT, mobile, and communications infrastructure markets. It has operations in more than 30 countries and posted revenue of USD13.28 billion in 2023.

VIS  is a leading specialty IC foundry service provider. VIS has five 8-inch fabs in Taiwan and Singapore with a monthly capacity of about 279,000 wafers in 2023.

Tess Fang, lead partner at A&O Shearman, said: “We are delighted to support NXP in forming the joint venture, which marks a significant milestone in the industry and underscores the importance of strategic alliances in meeting growing client demands and adapting to dynamic market trends. This collaboration is a pivotal step in ensuring that both NXP and VIS can leverage their combined expertise for strategic growth in a highly competitive global market.”

The cross-practice, cross-jurisdictional team advising on the transaction is led by A&O Shearman’s partner Tess Fang, with significant support from Matthew Gee and Jackson Allen. Antitrust and IP advice is led by A&O Shearman’s partners Noah Brumfield and Nigel Parker, respectively.