China’s top chip packaging firm sees major board shake-up

China’s largest chip-packaging company has made a sweeping reshuffle of its board after a state conglomerate became its major shareholder, in the latest corporate shake-up in the mainland semiconductor industry.

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Gao Yonggang, a Chinese chip industry veteran and chairman of Jiangsu Changjiang Electronics Tech (JCET), resigned from the company’s board along with two other directors, Peng Jin and Zhang Chunsheng, the Shanghai-listed firm said in a filing on Thursday. Their departure comes after state-owned conglomerate China Resources Group acquired a 22.5 per cent stake in JCET to become its largest shareholder.

JCET said it will hold a board meeting on November 29 to elect a new supervisor after incumbent Wang Xian also resigned.

The exits come as China Resources expands its presence in the local semiconductor industry. The company already owns a chip subsidiary, China Resources Microelectronics.

Gao Yonggang is a former chairman at SMIC. Photo: AFP
Gao Yonggang is a former chairman at SMIC. Photo: AFP

Frequent deals between China’s state-owned enterprises, local government vehicles and state-backed funds form part of the nation’s larger push to achieve self-sufficiency in semiconductors by pulling resources from various players.

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