Luxshare Precision Industry To Acquire Qorvo's Assembly And Test Facilities In Beijing And Dezhou, China; No Terms Disclosed
Portfolio Pulse from Benzinga Newsdesk
Luxshare Precision Industry is set to acquire Qorvo's assembly and test facilities in Beijing and Dezhou, China. The terms of the transaction were not disclosed. The deal is expected to be completed by the first half of 2024. Qorvo will retain its sales, engineering, and customer support staff in China to serve customers. Post-transaction, Luxshare will assemble and test products for Qorvo under a long-term supply agreement.
December 18, 2023 | 9:02 pm
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Qorvo is selling its assembly and test facilities in China to Luxshare Precision Industry, with the transaction to be completed by H1 2024. Qorvo will maintain its presence in China through sales, engineering, and support staff and will enter into a long-term supply agreement with Luxshare post-sale.
The sale of Qorvo's facilities to Luxshare could streamline operations and focus on core competencies, which might be viewed positively by investors. However, the lack of disclosed terms makes it difficult to assess the financial impact. The long-term supply agreement suggests a continued partnership, which could mitigate potential disruptions and maintain revenue streams. Overall, the impact is neutral to slightly positive, pending further details.
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