Hitachi and NEC Announce Renesas Stake Sell-Off

Hitachi Semiconductor and Mitsubishi Electric were the founding partners in Renesas in 2002, with NEC Electronics, the semiconductor arm of NEC, joining Renesas in 2010. However, both Hitachi and NEC have recently announced their plans to sell off their shares in Renesas.

In 2013, the state-backed fund INCJ took a 69% stake in Renesas. Since then, Renesas has experienced significant success, with its share price rising 13 times and its 2022 revenue per employee reaching an impressive $480,000.

Renesas has undergone a transformation in recent years through strategic acquisitions. It acquired Dialog, IDT, and Intersil, which have contributed to its growth and success in the semiconductor industry.

Hitachi expects to receive $896 million for its share in Renesas, while NEC expects to receive $1.2 billion. These substantial amounts reflect the value and potential of Renesas as a leading player in the semiconductor market.

The decision by Hitachi and NEC to sell their shares in Renesas may be driven by various factors, such as strategic realignment or the need for capital for other ventures. Regardless of the reasons, this move will undoubtedly have an impact on the future direction and ownership structure of Renesas.