Cyient Semiconductors on Wednesday announced the acquisition of a majority stake in Kinetic Technologies for up to $93 million. This strategic move is aimed at strengthening Cyient’s presence in the custom power IC sector, particularly in the edge AI and high-performance compute markets, it said in a stock exchange filing.
The acquisition is a significant step for Cyient Semiconductors, which seeks to establish itself as a leader in the ASIC-led custom power semiconductor space in India. By integrating Kinetic Technologies’ expertise in power management and high-performance analog and mixed-signal ICs, Cyient aims to enhance its capabilities within the $40 billion power semiconductor market, the company said in the official statement. This development is expected to accelerate growth across various sectors, including data centers, electrification, automotive, networking, industrial automation, and the emerging edge AI compute segment, it added.
Synergy of Expertise and Technology
Cyient said the collaboration brings together its semiconductor design leadership with Kinetic Technologies’ portfolio of high-performance analog and mixed-signal ICs, including power conversion, display power, protection, and interface solutions. The joint entity is positioned to capture a leadership role in high-growth markets, leveraging Kinetic’s proprietary technologies and over 100 patents. This partnership is anticipated to expedite custom chip development, enabling Cyient to deliver system-level solutions that offer performance, scalability, and cost efficiency to customers globally.
Suman Narayan, CEO of Cyient Semiconductors, said, “Combining Kinetic’s power management and protection IC depth with Cyient Semiconductors’ custom ASIC engine materially strengthens our platform strategy catering to exploding AI demands.”
Kin Shum, CEO of Kinetic Technologies, expressed optimism about the partnership. “Kinetic Technologies can greatly benefit from the semiconductor market opportunities, talent availability in India, and having a strategic partner like Cyient Semiconductors backing our future growth prospects,” he noted.
The acquisition is expected to leverage Kinetic Technologies’ engineering-driven culture and customer relationships. The current leadership team and engineering organization will continue to operate within its existing structure, ensuring continuity for customers, partners, and employees. This strategic move underscores Cyient Semiconductors’ commitment to expanding its footprint in the semiconductor industry.
Source: Mint