China’s ASR Microelectronics Snags $119 Million at Over $1.6 Billion Valuation

(Deal Street Asia) — Chinese consumer electronics chips developer ASR Microelectronics has garnered $119 million in a Series D+ round of financing to reach a valuation of over $1.6 billion.

The Series D+ round was led by China internet Investment Fund (CIIF), a Chinese state-owned fund that plans to raise 100 billion yuan ($14.16 billion) for the internet sector, ASR announced in a recent statement.

Sequoia CBC Cross-Border Digital Industry Fund, which was created between Sequoia Capital China and Chinese TMT-focused private equity firm China Broadband Capital (CBC), and Hillhouse’s venture capital unit GL Ventures, participated in the round.

Investors also include Shanghai Pudong Science and Technology Investment (SPINNOTEC), a venture capital firm launched by the local government in Pudong New Area, Shanghai, as well as government-linked Zhangjiang S&T Investment, Shanghai Free Trade Zone Equity Fund Management (FTZ Fund), Shanghai STVC Group, and TCL Capital, the wholly-owned investment arm of Chinese state-backed TCL Corp., among others.

Shanghai-based ASR focuses on platform development, program delivery, technical support and related services of mobile intelligent communication terminals, internet of things (IoT), AI, satellite navigation, and other consumer electronics chips that cover 2G, 3G, 4G and 5G.

Established in April 2015, the company acquired Marvell MBU, the mobile business unit of Bermuda and U.S.-based semiconductor firm Marvell Technology Group in May 2017. The deal, whose financial terms were not disclosed, allowed ASR to obtain Marvell’s baseband IP, thin-modem product line, baseband R&D team, and its existing baseband customers.

ASR has launched branch offices in Beijing, Chengdu, Shenzhen, Dalian, Hong Kong and the United States, among others. It has over 800 employees worldwide.

Among its previous funding rounds, the company secured $100 million in a Series B round jointly led by Beijing-based investment firm IDG Capital, and Chinese state-backed Shenzhen Capital Group in July 2018. Shenzhen Capital Group and Alibaba also poured money into its Series A round in 2017.

“ASR not only develops carrier-free mobile communication technology and products, but also has products adapted to LoRa, WiFi, and Bluetooth,” said CIIF in the statement. “The company represents a key infrastructure power in promoting the development and wide application of China’s IoT technology.”

This story was originally published by Deal Street Asia

Contact editor Yang Ge (geyang@caixin.com)