CG Power and Industrial Solutions (CG), a division of the Murugappa Group, announced the purchase of Renesas Electronics Corporation's (Renesas) radio frequency (RF) components business for $36 million. To achieve this, the firm executed an asset purchase agreement for the business on October 4, 2024 with Renesas Electronics America, a subsidiary of Renesas, and other affiliated entities of Renesas that hold assets in the RF components sector.
In this deal, CG will gain ownership of Intellectual Property (IP), physical assets, and specific employees from different departments like semiconductor design, marketing, applications, etc, that are linked to the RF components business.
Vellayan Subbiah, chairman of CG Power and Industrial Solutions, said, “A significant number of semiconductor designers globally are Indians. Through this acquisition, we aim to enhance India’s presence in the semiconductor design & development space, considered to be a high-growth and high-profitability sector.”
Davin Lee, senior vice president and general manager of the analog and connectivity group at Renesas, added, “This agreement with CG will provide the opportunity for our RF team to expand. We are pleased that CG will deliver outstanding RF technology and world-class support to our customers, and we will support a smooth transition to facilitate the same. For Renesas, this move sharpens our focus on the strategic segment of our analog and connectivity business, enabling us to further scale to better serve customer demand.”
