CG Power to Acquire RF Components Business from Renesas Electronics

On October 5, 2024, CG Power and Industrial Solutions Limited (CG), a leading company in the electrical engineering sector and part of the Murugappa Group, announced that it has signed a deal to acquire the Radio Frequency (RF) components business from Renesas Electronics Corporation, a major provider of advanced semiconductor solutions. 

The asset purchase agreement was finalised on October 4, 2024, between CG Power and Renesas Electronics America Inc., a subsidiary of Renesas, along with other related entities involved in the RF business.

As part of this deal, CG will acquire intellectual property, physical assets, and key employees involved in semiconductor design, marketing, and applications. These assets will be acquired through new entities that CG will establish after meeting regulatory requirements and completing the necessary conditions.

Commenting on this acquisition, Mr Vellayan Subbiah, Chairman of CG Power and Industrial Solutions Limited, 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.” 

Mr 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 analogue and connectivity business, enabling us to further scale to better serve customer demand.”

About CG Power and Industrial Solutions Limited

CG Power and Industrial Solutions Limited is an engineering company based in Mumbai, India, and a leader in the electrical engineering industry. The company operates in 2 main areas: Industrial Systems and Power Systems. It produces a range of equipment like traction motors, propulsion systems, and signalling relays for Indian Railways, along with induction motors, drives, transformers, switchgear, and other products for industrial and power sectors. Recently, CG has also entered the consumer appliances market, offering products like fans, pumps, and water heaters.

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