TAIPEI, May 15 (Reuters) - TSMC, the world's largest contract chipmaker, said on Friday it plans to sell up to 152 million shares in Vanguard International Semiconductor via a block trade to financial institutional investors, cutting its stake in the chipmaker.
TSMC said the proposed share sale would reduce its holding in Vanguard International Semiconductor, or VIS, to about 19% from around 27.1% on a fully diluted basis. TSMC said it has no plans to sell additional VIS shares in the foreseeable future.
At current prices, 152 million VIS shares are worth around 26.8 billion Taiwan dollars ($850 million).
TSMC said the sale would not affect its strategic relationship with VIS, including outsourcing interposer production and licensing gallium nitride (GaN) technology to the company. It added that the share sale is part of its plan to focus resources on core business activities.
In June 2024, TSMC ceased to have representation on VIS's board of directors.
($1 = 31.5220 Taiwan dollars)
Reporting by Wen-Yee Lee. Editing by Muralikumar Anantharaman and Mark Potter
Source: Reuters