VCI Global, Kinesis to Set Up Semiconductor Wire Plant in Chennai.

Nasdaq-listed VCI Global, in partnership with Kinesis Manufacturing Solutions, has announced plans to establish India’s first semiconductor wire manufacturing plant in Chennai.

The 25,000-square-foot facility will focus on producing semiconductor bonding wires, a crucial component in chip manufacturing. With an initial investment of $3.5 million, operations are set to commence in the third quarter of 2025 with a single production line.

VCI Global will hold a 51% stake in the joint venture, while Kinesis will own the remaining 49%. The project will be led by Loh Beng Siew, a key member of the Kinesis team and former leader of Ultra Clean Technology’s first factory in Malaysia.

The plant is expected to reach mass production within the same quarter, generating up to $50 million in revenue and achieving a 12-month return on investment (ROI). Future expansion plans include four production lines, targeting an annual revenue of $200 million.

“With this strategic venture, VCI Global aims to become a leading supplier in India by providing a critical component for semiconductor packaging and chip manufacturing,” said Dato’ Victor Hoo, Group Executive Chairman and CEO of VCI Global. “This investment secures a high-margin revenue stream and aligns us with the world’s top semiconductor players.”

HBL