(Yicai Global) Dec. 15 -- Shares in Sai MicroElectronics surged as much as 15 percent today after the Chinese specialty electronics maker said it plans to buy an automotive chip production line from Germany’s Elmos Semiconductor in order to extend its reach in-vehicle electronics.

Sai MicroElectronics’ share price [SHE:300456] was trading up 6.71 percent at CNY27.52 (USD4) as of 1:30 p.m. China time today. Earlier in the day it had reached CNY29.75.

Unit Silex Microsystems will pay EUR84.5 million (USD95 million) for the assets and contracts linked to the facility in Dortmund, Germany, the Beijing-based parent firm said yesterday. Elmos, which specializes in automotive application-specific integrated circuits, will continue to own the building and will lease it to Silex.

The pair have also entered a long-term supply agreement whereby Dortmund-based Elmos will buy wafers made in the plant until 2027, Sai MicroElectronics said.

Editor: Kim Taylor