08:11 AM EDT, 05/28/2024 (MT Newswires) -- China has launched its third state-backed investment fund to bolster its semiconductor sector with capital of 344 billion yuan ($47.5 billion), Reuters reported Monday, citing a filing with the National Enterprise Credit Information Publicity System.

The third phase will be the largest of the three funds established by the China Integrated Circuit Industry Investment Fund, the report said.

The Chinese finance ministry is the biggest shareholder with a 17% stake, according to Chinese database company Tianyancha, while China Development Bank Capital is the second-largest shareholder with a 10.5% stake, Reuters reported.

A major area of focus for the third phase is expected to be equipment for chip manufacturing. The fund is also considering

hiring at least two institutions to invest capital from the third phase, Reuters said.

(Market Chatter news is derived from conversations with market professionals globally. This information is believed to be from reliable sources but may include rumor and speculation. Accuracy is not guaranteed.)

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