By Brazil Stock Guide – Brazil’s state development bank BNDES approved 143.3 million reais ($27 million) in financing for Zilia Technologies to expand domestic semiconductor production, according to Broadcast. The funding will support research, development and industrial upgrades at the company’s plant in Atibaia, in São Paulo state.
The loan was approved under the BNDES Mais Inovação program and will be used to expand output of memory semiconductor components and data-storage devices for smartphones, computers, tablets, smart TVs, cars, printers and security equipment.
Zilia Technologies, a privately held manufacturer of semiconductor components, produces more than 150 million chips and 7 million modules a year, with a focus on memory and storage devices for computers, mobile phones and servers, according to BNDES. No stock ticker is available for Zilia Technologies or BNDES.
The project includes the purchase of production equipment, including testing, assembly, handling and measurement machinery, as well as the modernization of the Atibaia facility.
“Manufacturing and developing semiconductors here in Brazil is a strategic step to reduce dependence on imported components and strengthen domestic production of these products. In addition, local production reduces costs, increases the competitiveness of the domestic market and promotes the training of a highly qualified workforce. For BNDES, supporting these investments is essential to bring Brazil closer to the most advanced international standards in the sector,” BNDES President Aloizio Mercadante said in a statement.
The disbursement of the approved funds remains subject to the formal signing of the financing contract and compliance with other obligations and conditions required by BNDES. The release of the money will follow the schedule set out in the project submitted by Zilia.
Leave a Reply