Tsinghua Unigroup Denies Plans to Acquire Memory Divisions of Toshiba, SanDisk

14 Oct

Sources from China’s state-owned Tsinghua Unigroup denied rumored plans to take over the memory divisions of Toshiba and SanDisk, but admitted the company was still looking for acquisition targets.

After several acquisitions, Tsinghua Unigroup has emerged to become China’s largest chip manufacturer. The company recently purchased a 15 percent stake in storage maker Western Digital and became its largest shareholder. Following those acquisitions, Tsinghua Unigroup has expanded its business into chip design, storage chips and servers.

It was rumored that Tsinghua Unigroup was in talks with Toshiba and SanDisk regarding purchasing their memory business; however, sources from Tsinghua Unigroup dismissed the rumor, but said the company continued to look for acquisition targets.

Tsinghua Unigroup chairman Zhao Weiguo said previously that the company was looking to acquire manufacturers in the semiconductor upstream and downstream supply chain at the right timing. Considering the current circumstances, he believed acquiring other companies would be the best way for Unigroup to expand its semiconductor business. In this regard, the company has purchased Spreadtrum and RDA Microelectronics and obtained a US$9 billion investment from Intel. Unigroup also hopes to push its market value to over US$100 billion in five years.