Linde to Invest $1 Billion in Arizona After Semiconductor Supply Deal
Synopsis
Linde is investing US$1 billion in Arizona and US$800 million in Taiwan to expand industrial gas supplies under a new long-term agreement with a major semiconductor manufacturer.
Key Highlights
- After winning a long-term supply agreement for semiconductors, Linde will invest US$1 billion in Arizona.
- The project will supply ultra-high-purity industrial gases for one of the largest semiconductor manufacturers in the world.
- Linde’s Taiwan joint venture will also engage in the US$800 million in order for facilities managed by the same customer meet environmental standards.
Linde, the world’s largest industrial gases company, has announced a new long-term agreement to supply ultra-high-purity industrial gases to one of the world’s largest semiconductor manufacturers and plans to invest around $1 billion in Arizona.
With semiconductor manufacturers expanding production capacity to meet growing demand for AI and high-performance computing chips, investors are fixated on whether Linde’s rising exposure to the sector will provide support for long-term earnings growth, the firm said in announcing the new estimates.
Arizona Expansion
Linde said the expansion would add to its ultra-high-purity nitrogen, oxygen and argon supply to feed two new semiconductor fabrication facilities. Under the deal, Linde will build, own and operate two air separation units as well as other facilities.
Linde also said, Taiwan's joint-venture plans to invest some US$800 million in industrial gases supply to the new semiconductor production facilities of the same customer.
Source: Reuters
At Inspirepreneurs Magazine, covering entrepreneurship, business failures, and the human stories behind the world's most ambitious founders. She writes at the intersection of strategy and storytelling.
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