SGX-listed Asti Holdings looking to sell semiconductor unit to Chinese investor for up to $115m

SINGAPORE - Singapore-listed Asti Holdings is in talks to sell units to a Chinese technology investor, the semiconductor maker said on Tuesday (Sept 19).

Wholly owned Asti subsidiaries such as Semiconductor Technologies & Instruments and related entities could change hands for $105 million to $115 million, the company said in a statement.

This is more than three times Asti's market capitalisation of $31 million.

Executive chairman and chief executive Michael Loh said: "While Asti is financially and technologically adequate in its current position, the transaction would substantially increase our cash balance and shareholder value."

He added that the subsidiary that could be acquired is a profitable one and the transaction would amp up working capital and resources needed for all Asti business units.

Asti shares closed up by 2.8 cents, or 53.8 per cent, at eight cents, after the announcement.