Tag: fabexchange

FabExchange, a private equity and divestiture partner, has completed the acquisition of ON Semiconductor’s Eastman Business Park location. Financial details of the acquisition were not disclosed.

Marketplace shifts led to the decision to discontinue the production of the CCD image sensor, ultimately resulting in the closure of the Rochester site. ON Semiconductor had announced layoffs at the site in 2019, just two years after opening, but last year filed a Worker Adjustment and Retraining Notice stating it would close the facility. More than 130 jobs were lost in the downsizing and closure.

The site at EBP primarily was focused on the development of image sensor tech, from medical and scientific imaging to commercial, surveillance and traffic monitoring. At the time of the company’s downsizing, corporate communications manager Sarah Rockey said it was driven primarily by the reduction of the charge-coupled device (CCD) imaging sector.

ON Semiconductor was approved to receive nearly $2 million in funding from Empire State Development when the company expanded to EBP, but no funds were ever requested or received. The company completed a $6.6 million expansion at its EBP facility in 2018 that was expected to have added more than 30 jobs.

FabExchange officials in a statement this week said the company partnered with ON Semiconductor, local and international partners to facilitate the divestiture “effectively, efficiently and faultlessly,” with a focus on maximizing future employment opportunities locally. They also noted that industry analysts believe that this acquisition is a win-win for both companies, as well as the city of Rochester. A core objective for FabExchange is to serve as a bridge for international companies wishing to invest in manufacturing in the U.S.

The property originally was constructed by Eastman Kodak Co. in 1959 and expanded in 1980. The building core is made up of dedicated lab space, cleanroom and surrounding office space. With space totaling 263,000 square feet, inclusive of seven floors and a basement, the building is designed for wafer fabrication, assembly, testing and office space.

“When acquiring facilities such as this, renovation and creative reconfiguration is almost always required. However, this facility is ready and primed for use by wafer fabs for MEMS, CMOS, CCD and DRAM, and compound semiconductors production,” said FabExchange Managing Partner Ali Shafi. “We have a few clients showing interest in this facility generating great momentum, setting the stage for an exciting future for this property.”

[email protected] / 585-653-4021
Follow Velvet Spicer on Twitter: @Velvet_Spicer