VCI Global Invests $3.5M In India's Semiconductor Push, Partners With Kinesis To Launch India's First Semiconductor Wire Plant In Chennai, Targets $50M Revenue In First Year

Accelerating India's semiconductor transformation and solidifying its position in the industry's supply chain, VCI Global Limited (NASDAQ:VCIG) ("VCI Global" or the "Company") is establishing India's first semiconductor wire manufacturing plant in partnership with Kinesis Manufacturing Solutions Sdn Bhd ("Kinesis"). This strategic initiative aligns with and supports the Indian government's effort to build a self-sustained semiconductor ecosystem.

The VCI Global-Kinesis plant will focus on producing semiconductor bonding wires, a crucial component in chip manufacturing. The 25,000-square-foot facility will be located in Chennai, with an initial investment of US$3.5 million. Operations are set to begin in the third quarter of 2025 with a single production line. By reaching mass production within the same quarter, the plant is projected to generate up to US$50 million, resulting in a return on investment (ROI) within 12 months. There are plans to expand to four production lines in the near future, aiming for an annual revenue of approximately US$200 million.