Magnachip Announces $5 Million Investment from Navitas to Strengthen SiC Partnership
Magnachip Semiconductor (NYSE:MX) announced a strategic equity investment of $5 million from Navitas Semiconductor (NASDAQ:NVTS), leading to a 14% rise in its stock price. The partnership, which began with an agreement in July 2026, aims to accelerate the adoption of silicon carbide technology for high-voltage applications by combining Magnachip's manufacturing capabilities and Navitas' supply chain expertise. Under the terms of the deal, Navitas will acquire nearly 1.46 million shares at $3.42 per share through a private stock purchase agreement expected to close on or around September 24, 2026. The investment is intended to provide Magnachip with capital and strengthen its position in energy infrastructure, industrial electrification, automotive systems, and other high-power applications. The collaboration includes licensing Navitas' GeneSiC Trench-Assisted Planar technology for various voltage levels up to 3,300 volts. Magnachip plans to integrate this into its South Korean fabrication facility. While the companies have not disclosed specific revenue targets or timelines, they remain optimistic about future product development and customer adoption.
Topics: Equity Investment Partnership Semiconductors Silicon Carbide Technology