Korean media: Doosan Tesna suspends acquisition of chip packaging company Enzion

Doosan Tesna appears to have withdrawn its stance on the Enzion acquisition as domestic and foreign economic conditions, such as shrinking semiconductor exports from South Korea and heightened price volatility, have changed significantly from the initial stage of the acquisition.

Originally, Doosan Tesna has been considering acquiring Enzion, because Enzion is competitive in the field of semiconductor packaging, which can make up for the lack of Doosan Tesna in the semiconductor packaging part. In the first half of this year, Doosan Tesna held acquisition talks with Enzion.

But recently Doosan Tesna changed its strategy and decided to increase investment in test equipment instead of expanding its packaging business through acquisitions. It is understood that Doosan Tesna recently informed Enzion of its intention to withdraw from the acquisition.

Doosan Tesna announced on Aug. 29 that the company’s short-term borrowings, which are intended to fund testing equipment, have increased to 33.9 billion won. Doosan Tesna also decided to add 123.8 billion won of mobile application processor (AP) test equipment at its Pyeongtaek plant to strengthen the AP test business.

Doosan Tesna is a company specializing in the testing part of the semiconductor back-end process, mainly testing the performance of semiconductors such as mobile APs, image sensors, and wireless communication chips.