Taiwanese Firm to Buy 20% of Diodes Inc. Stock

Silitek Corp., a Taiwanese semiconductor company, agreed to buy a 20% stake in Diodes Inc., a Chatsworth producer of semiconductor products, for $1.9 million.

Silitek agreed to buy 1 million newly issued Diodes common shares for $1.875 each, which would raise the total number of Diodes common shares outstanding to about 4.7 million. After the transaction, Silitek and Microsemi Corp., a Santa Ana-based electronic products concern, would be Diodes’ biggest stockholders with stakes of about 20% each.

Silitek was granted a two-year option to buy an additional 1 million Diodes shares at the same price. For the past three years, Diodes also has bought products from Silitek for sale in the United States.