Oct. 18, 2002 – Tokyo, Japan – Fujitsu Ltd. and U.S.-based Amkor Technology Inc.have called off talks on a joint venture to take over one of Fujitsu’s domestic chip assembly and packaging units.
The two companies said this spring that Amkor would buy 67% of the Fujitsu unit by September.
But the deal between the two companies, both hit hard by a persistent semiconductor slump, ran into snags that they blamed in part on industry conditions, with Amkor having warned in July that the deal was not expected to close until the fourth quarter.
“Both companies concluded that the transaction proposed by the MOU (memorandum of understanding) was not feasible and therefore decided to discontinue further discussions,” Fujitsu said in a statement.
The unit, Kyushu Fujitsu Electronics Ltd, provides assembly and test services to Fujitsu and other customers and posted revenues of $100 million in the last business year to March, a Fujitsu spokesman said.