--- title: "China's United Nova Rallies on USD3 Billion Automotive Wafer Foundry Investment Plan" type: "News" locale: "en" url: "https://longbridge.com/en/news/289588896.md" description: "United Nova Technology shares surged over 15% after announcing a CNY20 billion (USD3 billion) investment to build an automotive-grade wafer foundry in Zhejiang. The project involves a joint venture with government and private partners, aiming to expand capacity for high-end analog chips serving AI servers, new energy vehicles, and robotics. United Nova will hold a 25.1% stake and transfer relevant IP to the JV." datetime: "2026-06-12T11:13:56.000Z" locales: - [zh-CN](https://longbridge.com/zh-CN/news/289588896.md) - [en](https://longbridge.com/en/news/289588896.md) - [zh-HK](https://longbridge.com/zh-HK/news/289588896.md) generator: "portal-rs" --- # China's United Nova Rallies on USD3 Billion Automotive Wafer Foundry Investment Plan (Yicai) June 12 -- United Nova Technology's shares jumped over 15 percent after the Chinese power semiconductor foundry announced plans to invest CNY20 billion (USD3 billion) with government and private partners to build an automotive-grade wafer manufacturing plant. United Nova \[SHA: 688469\] closed up 3.3 percent at CNY7.31 (USD1.10) today after surging as much as 15.1 percent intraday. The shares are over 60 percent elevated year-to-date. The project marks a major capacity expansion and deepens United Nova's push into high-end analog integrated circuit chips, where demand is rising from AI servers, new energy vehicles, robotics, and optical interconnection applications, the Shaoxing-based company announced yesterday. The foundry will be built in an industrial park in the firm's hometown in Zhejiang province. It will feature a 12-inch automotive-grade production line capable of manufacturing a range of mature-process products, including digital in-vehicle controllers, analog power management chips, and mixed-signal silicon photonic drivers. Designed monthly capacity will reach 50,000 wafers. **JV Structure and Intellectual Property Transfer** United Nova and its partners will establish a joint venture company with registered capital of CNY12 billion to invest in, build, and operate the factory. United Nova will own 25.1 percent of the JV based on its capital contribution, while the local government fund will hold 25 percent. Other external investors will collectively own 49.9 percent, although their identities and individual shareholding ratios have yet to be determined. United Nova will be required to repurchase all shares held by the local government fund either seven years after the JV's registered capital has been fully contributed or one year after the project company achieves breakeven. The repurchase price must be no less than the original investment principal plus capital costs calculated at an annual interest rate of 3.5 percent, according to the filing. In a separate announcement released yesterday, United Nova said it will transfer full ownership of project-related intangible assets, including patents and proprietary process technologies, to the JV for CNY1.2 billion (USD179 million) to support construction and operation of the new facility. The company will retain the right to use the technologies free of charge, while any new IP generated through improvements to the transferred assets will be jointly owned by both parties. The expansion will reinforce United Nova's one-stop foundry offering, which spans chip design, wafer manufacturing, module packaging, application validation, and reliability testing. The company expects the investment to strengthen its position in high-end analog chips and capture rising demand from AI servers, NEVs, robotics, and optical interconnection applications. Editor: Emmi Laine ### Related Stocks - [688469.CN](https://longbridge.com/en/quote/688469.CN.md) ## Related News & Research - [Why the Direxion Daily Semiconductor Bull 3X ETF plunged nearly 20% today](https://longbridge.com/en/news/296269993.md) - [Evolve Automobile Innovation Index ETF declares CAD 0.25 dividend](https://longbridge.com/en/news/296300739.md) - [His robotics company IPO'd this week. He still thinks a humanoid breakthrough will take years.](https://longbridge.com/en/news/296571389.md) - [Unitree unveils a robot it says can run faster than Usain Bolt ahead of its IPO](https://longbridge.com/en/news/296222699.md) - [Does 'less is more' work for ETFs?](https://longbridge.com/en/news/296349591.md) --- > **Disclaimer: This article is for reference only and does not constitute any investment advice.**