China's Unigroup to Pay $600 Million for Taiwan Chipmaker Stake

Tsinghua Unigroup Ltd., the investment arm of China’s Tsinghua University, has agreed to pay about $600 million to become the largest shareholder in Taiwanese chip testing and assembly provider Powertech Technology Inc.

Unigroup, which is unlisted, will purchase a stake of about 25 percent in Powertech for NT$75 ($2.30) per share, according to a statement posted on the mainland Chinese company’s website on Friday. Powertech could expand its market share in China and reinforce its leading role in the global market after the deal, the statement said.