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TowerJazz CEO: Panasonic JV will aid in "getting new Japanese customers"

  • In an interview with Israel's Globes, TowerJazz CEO Russell Ellwanger said of the company's JV with Panasonic: "Panasonic can help us in the Japanese market ... there is a very good chance of getting new Japanese customers."
  • When asked about the market's reaction on Friday, which sent TSEM shares soaring 44.8%: "I'm often surprised by the market's reactions to Tower's announcements and I don't always understand those reactions. But clearly I was satisfied."
  • (TSEM -4.3%) shares are nevertheless continuing to give up part of Friday's gains.
Comments (1)
  • Ellwanger has managed to take Tower from almost certain bankruptcy with one Fab in Israel and no way of repaying the large debt it cost to build that Fab (over one billion dollars), to the number one independent analog semiconductor company in the world.

     

    From the time Ellwanger has been at the helm, Tower merged with Jazz semiconductor (giving Tower a second Fab in the U.S.) and new technology. Bought from Micron a fab in Japan with it's work force for a only $40 million. Created a deal with Panasonic to be the 51%share holder in a joint venture to run 3 Fabs currently owned by Panasonic (Panasonic receives $8 million worth of Tower shares).

     

    In the wings is a new Fab to be built in India with IBM and a major Indian construction company. Tower will manage the Fab and get $300 million dollars as part of the deal.

     

    Tower's has done all these deals while working with Top tier Fab less design companies in Europe the U.S. and Korea. With its new presence in Japan with 4 new Fabs Tower should expand it's business in Japan as well.

     

    2014 looks to be a pivotal year for Tower and a Billion dollars in sales seems to be in reach. Going forward Tower will solidify and expand it's market share in the semiconductor industry.
    19 Jan, 01:17 PM Reply Like
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