Phoenix Semiconductor Philippines Corp., the listed local unit of Seoul-based STS Semiconductor and Telecommunications Co. Ltd., announced the change of name of its parent company to “SFA Semicon Co. Ltd.”
“The change in corporate name was arrived at by the SFA Semicon’s board of directors in its meeting March 30, 2016 which likewise disclosed the decision to the Korean Stock Exchange,” the company, which has facilities in Clarkfield, Pampanga, said on Thursday.
The change in name was made to reflect the majority ownership of the SFA Engineering Corp. in its parent firm, which now holds 45.54 percent equity shareholding of STS Semiconductor.
The balance of 54.46 percent ownership of the former STS is in the hands of public investors. The Bokwang group has retained a minority interest.
In the disclosure to the Korean Exchange, the firm explained that the acquisition of the majority stake in the former STS aims to improve operating efficiencies and create synergy, while availing of greater opportunities in the global semiconductor industry.
STS owns about 85 percent of Phoenix Semiconductor, which claims to be one of the country’s largest exporters of semiconductor products in the country with over $2.10 billion in export value sales in 2015.
The company specializes in the contract assembly, packaging and test of memory modules, chips and branded memory cards for Samsung Electronics of Korea.
SFA Engineering, meanwhile, is a manufacturer of automated production equipment for the semiconductor industry. The company earns revenues of 526.06 billion won (some $464.93 million), has net income after tax worth 30.84 billion won, with total assets of 1.19 trillion won in 2015.
It has been named by Forbes magazine among the top 200 emerging companies in South Korea, which noted the sales and earnings per share growth of over 20 percent annually in the last three years.