Core Viewpoint - Silan Microelectronics has signed a strategic cooperation agreement with the Xiamen Municipal Government and the Haicang District Government for a 12-inch high-end analog integrated circuit chip manufacturing project, with a total planned investment of 20 billion yuan [1][2]. Group 1: Project Details - The project has a total planned investment of 20 billion yuan, with a production capacity of 45,000 wafers per month, implemented in two phases [2]. - The first phase of the project involves an investment of 10 billion yuan, including 6.01 billion yuan in equity and 3.99 billion yuan in bank loans, aimed at constructing the main factory and supporting warehouses, achieving a monthly production capacity of 20,000 wafers upon completion [2]. - The registered capital of Silan Jihua will increase significantly to 5.11 billion yuan after the capital increase, with 9 billion yuan of capital to be contributed by other investors in the future [2]. Group 2: Company Background - Silan Jihua was established in June 2023 with a registered capital of 10 million yuan, fully owned by Silan Microelectronics [3]. - The actual controller of Xiamen Semiconductor is the Haicang District Government, while Xiamen New Wing Technology is controlled by the Xiamen State-owned Assets Supervision and Administration Commission [3]. - This is not the first collaboration between Silan Microelectronics and Xiamen; a previous strategic cooperation framework agreement was signed in May 2024 for an 8-inch SiC power device chip manufacturing line with an investment scale of 12 billion yuan, which is progressing smoothly [3]. Group 3: Financial Performance - In the first half of 2025, Silan Microelectronics achieved operating revenue of 6.336 billion yuan, a year-on-year increase of 20.14%, and a net profit attributable to shareholders of 265 million yuan, marking a turnaround from losses [3].