AMKR.US is rumored to be planning to sell its China business equity, with an estimated valuation of 1.5 billions US dollars.

According to the Golden Ten Data APP, sources reveal that global outsourcing semiconductor packaging and testing (OSAT) giant Amkor Technology (AMKR.US) is considering a strategic adjustment of its China business, including options such as selling partial equity. The company, headquartered in Tempe, Arizona, has hired advisory firms to assist in preparing for the potential spin-off of this business unit and to probe initial interest from potential buyers.

It is reported that Amkor Technology may retain a minority stake in this business, while the overall valuation of its China operations is estimated at between $1 billion and $1.5 billion.

Since the beginning of the year, Amkor Technology’s share price has risen by 34%, with its market capitalization reaching $13.1 billion. However, its stock has declined significantly from its June peak, impacted by fluctuations in AI-related stocks.

According to sources, Asian investment institutions and peer companies are expected to show strong interest in this asset. At present, considerations are still at an early stage, and no final decisions have been made; specific details, including the valuation, may still change. Amkor Technology declined to comment on the matter.

This move means Amkor Technology joins other multinational companies reevaluating their business layout in China. Last week, it was reported that SK Hynix is exploring bringing in investors for its Chongqing plant to accelerate growth; fashion brand Abercrombie & Fitch, General Mills, Starbucks, and Swedish oat milk giant Oatly are also planning restructuring schemes for their respective China businesses.

Amkor Technology entered the Chinese market in 2001, establishing its first packaging factory in Shanghai; in 2004, the company acquired a second large semiconductor factory in Shanghai from IBM.

In July this year, Amkor Technology announced the signing of a multi-year agreement with NVIDIA (NVDA.US) worth $1.5 billion to jointly develop advanced semiconductor packaging and testing technologies for next-generation AI and accelerated computing platforms; a month earlier, it had just reached a ten-year strategic cooperation framework agreement with TSMC (TSM.US).