Unimicron signs letter of intent to sell Japan unit to Meiko Electronics

Unimicron signs letter of intent to sell Japan unit to Meiko Electronics

N
News Editor
2026-10-28 00:35:33
Unimicron said its board has approved the signing of a letter of intent with Japanese printed circuit board maker Meiko Electronics for a proposed sale of all shares in its Hokkaido-based subsidiary, UNIMICRON JAPAN CO., LTD. The companies are still at the preliminary LOI stage, and the final transaction value and terms have not been set. Those details will be subject to further negotiations and formal board approvals on both sides. Unimicron said the planned disposal is aimed at activating assets, lowering the cost of cross-border operations, and concentrating corporate resources on higher-margin product lines. The report also pointed to the company’s purchase of a plant in Hukou, Hsinchu for more than NT$10 billion in September, a move tied to expansion of advanced AI substrate capacity and seen as a sign that its production focus has shifted.

Unimicron said its board has approved the signing of a letter of intent with Japanese printed circuit board maker Meiko Electronics for a proposed transfer of all shares in its Japan subsidiary in Hokkaido.

According to the company’s disclosure, the two sides have only signed an LOI at this stage. The final deal value and transaction terms have yet to be negotiated, and the sale will still require further discussions and formal board approval from both parties.

Hokkaido subsidiary is the target of the proposed sale

The asset involved is UNIMICRON JAPAN CO., LTD., a Hokkaido-based subsidiary. The report said the business was previously a high-end specialty board plant acquired by the group in 2011.

Unimicron said handing the operation to a local company could reduce cross-border operating and maintenance costs, while also having a positive effect on employee career development and the long-term sustainability of the business.

Company frames the move as asset activation

Unimicron said the decision is intended to activate assets, cut the cost of multinational operations, and redirect resources toward higher-margin product lines.

The report said global supply chain adjustments have raised management costs for multinational companies. Against that backdrop, Unimicron is disposing of overseas assets as part of an asset-activation plan. If completed, the transaction would also provide additional operating funds.

September plant purchase highlighted shift toward AI substrate expansion

In September, Unimicron spent more than NT$10 billion to acquire a plant in Hukou, Hsinchu, to expand advanced AI substrate capacity. The report said that purchase showed a shift in the company’s production layout.

If the sale of the Japan unit goes through, Unimicron would be in a stronger position to consolidate funds and invest in advanced substrate capacity tied to artificial intelligence demand, including future needs from servers and high-performance computing chips.

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