Indie Semiconductor has taken a major step toward reshaping its international strategy by agreeing to sell up to its entire 34% stake in Chinese affiliate Wuxi indie Microelectronics Technology. The buyer, United Faith Auto-Engineering, is a China-based company specializing in industrial automation and equipment manufacturing.
The agreement was disclosed in a recent filing with the U.S. Securities and Exchange Commission (SEC), showing that both companies entered into a non-binding agreement on Monday. While the transaction is not yet final, it marks a clear direction for Indie Semiconductor’s future in the Chinese market.
United Faith Eyes Full Control
In addition to Indie’s stake, United Faith Auto-Engineering has also signed non-binding agreements with every other shareholder of Wuxi Indie Microelectronics Technology. This move signals an effort to acquire 100% ownership of the Chinese subsidiary. The development was further confirmed in a filing with the Shenzhen Stock Exchange.
If successful, the acquisition would hand full control of Wuxi to United Faith, effectively removing all foreign ownership. This comes at a time when China continues to push for more domestic control in key tech sectors, especially those tied to semiconductors and automation.
Indie’s Global Focus Shifts
For Indie Semiconductor, based in the U.S., the potential sale is part of a broader strategic realignment. The company has been working to sharpen its focus on core markets, particularly in North America and Europe, where demand for automotive and edge computing chips continues to rise.
By stepping away from its Chinese subsidiary, Indie can reallocate resources toward innovation and expansion in regions where it’s seeing stronger, more stable growth. The company remains deeply invested in serving global automotive clients developing electric and autonomous vehicles.
Market Experts Weigh In
Analysts say the move aligns with ongoing trends among U.S. tech firms scaling back ownership or exposure in China. Heightened geopolitical tensions, stricter regulations, and the rising importance of intellectual property protection are pushing many companies to de-risk their operations abroad.
For United Faith, the full acquisition of Wuxi indie Microelectronics could strengthen its domestic tech capabilities and supply chain independence.
What’s Next?
While the current agreement is non-binding, both parties appear committed to a smooth transition. If finalized, this would mark a significant shift in Wuxi Indie Microelectronics Technology’s ownership structure and strategic direction.
Meanwhile, Indie Semiconductor is expected to continue collaborating with Wuxi in specific capacities, ensuring that ongoing partnerships and client projects are not disrupted during the transition.
With this bold move, Indie is clearly signaling its intent to double down on growth, agility, and innovation in its primary markets, letting go of non-core assets to focus on the future of semiconductor technology.
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