The government-backed fund Japan Investment Corporation (JIC) formally announced its policy of selling JSR, a major semiconductor materials company under its umbrella, to Mitsui Chemicals. JIC Capital President Ikeuchi Seigo (池内 省五) described the sale as "not an end point but a starting point," suggesting that further industry consolidation would be pursued.
On the 9th, the government-backed fund Japan Investment Corporation (JIC) announced that it would sell JSR, a major semiconductor materials company under its umbrella, to Mitsui Chemicals. The sale value has not been disclosed, but the transaction has attracted attention as a large-scale deal involving JIC, a government-affiliated entity. JIC Capital is responsible for the investment decision, and the transaction is reportedly intended to accelerate consolidation in the semiconductor materials sector.
In an interview with The Nikkei, JIC Capital President Ikeuchi Seigo (池内 省五) described the sale as “not an end point but a starting point” and indicated that further industry consolidation would be necessary. There is growing speculation among parties involved that the combination of JSR and Mitsui Chemicals could lead to integration of the materials supply chain and an expansion in scale.
Related reports say that Mitsui Chemicals has settled on a policy of acquiring JSR, and that approximately ¥1.3 trillion in funds could move from the government-backed JIC. Against the backdrop of the government's industrial strategy and market demand trends, views are spreading that consolidation in semiconductor materials will proceed democratically.
Going forward, industry-wide consolidation is expected to continue even after JIC's sale, and the companies involved may explore new integration proposals and reviews of their business structures. Attention is also focused on developments in support measures backed by the Ministry of Economy, Trade and Industry.