(Yicai Global) Aug. 6 -- Jiangsu Nanda Opto-electronic Material will take a 58 percent stake in electronic gas supplier Shandong Feiyuan Technology for CNY247 million (USD35 million).

This purchase will cement its market positioning in the electronic specialty gas business, the former announced yesterday.

The transaction will take the form of an equity acquisition and investment increase, after which Feiyuan Technology will become a subsidiary of Suzhou-based Nanda Opto-electronic, per the announcement.

Zibo-based Feiyuan Technology is a key nitrogen trifluoride supplier in China that has strong research and development capabilities, and which has been gearing for industrial production of many key fluorine-containing materials in the electronics industry. Nitrogen trifluoride is an excellent plasma etching gas widely used in the electronics industry and as a cleaning agent.

Nanda Opto-electronic specializes in the development, production and sales of high-purity chemical materials for the electronics industry.

Feiyuan Technology's customers include BOE Technology Group, Taiwan Semiconductor Manufacturing, Hon Hai Precision Industry, Asea Brown Boveri, Siemens and other well-known firms from both home and abroad, information on the two companies' websites shows.

Editor: Ben Armour