As at least one potential investor decided not to acquire a noticeable stake in troubled maker of dynamic random access memory (DRAM) Qimonda, the government of Portugal, where the company has manufacturing facilities, is ready to buy 14% stake in the company, according to a local news-paper.
The government will help the DRAM manufacturer only if SemiChip Semiconductor from China reaffirms its interest. Problem is that the parent company of SemiChip, Inspur, does not want to.
“We are available to attend the new European company that has cooperation with the Chinese company, but on condition that the plant in Vila do Conde remains in operation. The Government determines the participation of 14% in the new European company to produce six thousand wafers in Vila do Conde. This means ensuring the employment of more than a thousand people," said Basilio Horta, Portuguese minister of agriculture, trade fisheries on the sidelines of the seminar called "Business Opportunities Jordan”, reports Diario di Noticias news-paper.
According Mr. Horta, Qimonda has been losing €42 million per week, which is too lot. But if SemiChip Semiconductor from China, which is a daughter company of Inspur, invests into Qimonda, then Portugal will also jump on board. However, Inspur recently said that it would not invest into Qimonda.
In the model designed by the insolvency administrator Michael Jaffé, the state of Saxony should take a stake of 23%, directly or indirectly, 14% and Portugal, also direct or indirect, on an interim basis, said the same source. Some other creditors should get 15% of Qimonda, which would keep the majority of the shares of Qimonda and production in Europe. The rest may be acquired by other investors. However, Inspur of China was interested in 50% stake, according to media reports.
Qimonda did not comment on the news-story.