AT&S taps IFC for €15M to grow India, Malaysia chip plants
What's the deal? Austrian electronics parts maker AT&SDealroom has a profile for this one. Try Dealroom → has secured €15 million ($17.1 million) in financing from the International Finance Corporation (IFC) to expand its printed circuit board plant in India and its integrated circuit (IC) substrate facility in Malaysia. The capital comes as post-IPO convertible structured debt, announced in July 2026.
How's it structured? IFC, the World Bank Group's private-sector investment arm, is backing AT&S with structured debt — a lending instrument with equity-like features. It carries no fixed maturity, offers interest payments, and converts into equity under specified conditions, giving AT&S quasi-equity capital without immediate dilution.
Where's the money going? Proceeds will fund capital expenditure and working capital at two sites: the PCB plant at Nanjangud, near Mysuru in Karnataka, India, and the IC substrates facility at Kulim in Malaysia. AT&S plans a greenfield plant on vacant land next to its existing Nanjangud site, with construction pending an environmental and social impact assessment targeted for January 2027.
The expansion: The Kulim plant's headcount, around 2,650 as of May 2026, is expected to rise to about 3,500 once a new production line is commissioned, IFC said. This marks IFC's second engagement with AT&S's Asian operations, following an earlier investment in the same Malaysian facility.
What's the endgame? AT&S, listed on the Vienna Stock Exchange, is a global maker of high-end IC substrates and PCBs for mobile devices, automotive, aerospace, medical, and high-performance computing, including AI. It entered India in 1998 and has run the Nanjangud plant since 2000, alongside sites in Austria, China, and Malaysia.
The signal: IFC said the deal would strengthen AT&S's capital base and help "deepen India's domestic PCB and IC substrate supply chain," which remains reliant on imports. The financing points to growing efforts to localise semiconductor-adjacent manufacturing across Asia.
Read more: VCCircle
Image credit: Rubber Dragon
