The £144m takeover of the UK’s largest microchip plant by a New York-listed group has been approved by the Government.
The site, which trade as Nexperia Newport but was previously known as Newport Wafer Fab, was put up for sale in 2023 after the Government ruled on national interest and security grounds that it should came out of Chinese ownership.
It had previously been owned by Amsterdam-based tech firm Nexperia, a wholly-owned by Chinese and Shanghai-listed Wingtech.
The Government used the National Security and Investment Act of 2021 to force Nexperia to sell the site, which employs around 500 people.
Following a sales process, Vishay Intertechnology agreed a £144m cash deal in November which was subject to final approval by the Government.
The new owner has said it plans to invest £1bn into the 200m semiconductor wafer fab over the next three years.
The plant is located on the Duffryn Industrial Estate and has now been branded Newport Vishay.
Economy Minister Vaughan Gething said: “I am pleased that the long overdue decision to permit the acquisition of the business by Vishay Intertechnology has now been taken.
“Wales excels in the compound semiconductor industry which offers enormous growth opportunities over the long term. From mobile phones to electric vehicles we all rely on the products made in South East Wales as part of a global industry that is set to be worth around $1trn by 2030.
“Today’s news brings security to a hugely talented workforce after a long period of uncertainty and I hope they can look forward to a new sense of optimism.
“In our discussions over the past 18 months, Vishay have set out their intention to invest in the site and work with the existing semiconductor cluster in South Wales with a real sense of ambition for the opportunities this growing sector offers to young people in Wales in particular. We look forward to a productive working relationship with the company.
“Our economic mission makes clear the importance we attach to the compound semiconductor cluster given the enormous role it will play in creating thousands of quality jobs in the years to come.
“We have supported that growth by agreeing an investment zone for Newport and Cardiff and we call on the UK Government to work with us through its semiconductor strategy to ensure this Welsh strength achieves its full potential.”