RRP Electronics to buy silicon wafer line from Singapore’s PTW

RRP Electronics, a leading OSAT (Outsourced Semiconductor Assembly and Test) player in India, plans to buy a silicon wafer line, along with process and technology know-how transfer from PTW, a Singapore headquartered semicon solutions provider.

RRP Electronics is expected to complete the purchase of the wafer line this year and start pilot production in 2025-26, with scale-up to full capacity utilisation in the next 2 years.

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The plant at full capacity will earn over $1.2 billion revenue with more than 60 per cent gross profit margin, based on the current market benchmarks, said the company.

PTW aims to sell another two lines to Indian customers in the next 1-2 years.

With this, PTW will play an instrumental role in establishing India’s first major wafer producing plant. The potential sale of three lines to India will support PTW strategy to become the market leader in India.

The silicon wafer line is expected to reduce India’s dependence on imports of electronics.

TOP2, a Singapore-based consulting firm, is advising PTW and RRP on this strategic partnership.

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Started in Singapore in 2015, PTW is now a global market leader in front-end semicon tools refurbishment and trading with 14 subsidiaries in all key wafer-producing countries. It is an approved vendor for over 650 leading fabs around the world.

PTW sees the opportunity to be the market leader in India in providing semicon engineering solutions with early entry and strategic tie-ups with emerging and leading players in the industry in India.

PTW has recently assisted a Japanese and a European customer to sell their lines to East Asian Nation-based businesses.