UMC buys Chinese chipmaker

United Microelectronics Corp. said it was interested in acquisition of He Jian Technology from Suzhou, China, and the board of directors had been given a green light to make an appropriate proposal to the company. The move comes with no surprises as the global economic recession puts smaller makers of semiconductors in rather hard situations.

“In order to facilitate UMC's global business reach beyond its current markets, to help expedite business growth, to increase profitability, to enhance shareholder value and to increase UMC's business competitiveness, UMC believes that a production base in China is key,” a statement by UMC reads.