TAIPEI (Taiwan News) — Powerchip Semiconductor Manufacturing Corp. said Tuesday its board approved the sale of its Tongluo plant and related facilities in Miaoli County to US memory chipmaker Micron Technology.

PSMC said the move is expected to generate disposal gains of NT$19.65 billion (US$623.61 million), per CNA. The transaction is valued at approximately NT$52.92 billion, per UDN.

The deal involves the P5 wafer fab buildings and plant facilities, excluding production-related machinery and equipment. It marks the largest industrial real estate transaction in Taiwan’s history, UDN reported.

PSMC said the agreement also establishes a long-term advanced DRAM packaging wafer foundry partnership with Micron. It comes as memory prices have been surging due to AI demand.

PSMC said it plans to integrate advanced packaging technologies such as 3D wafer stacking and interposers. It aims to leverage the rebound in the global memory market to strengthen its position in the AI supply chain.

Market observers noted the transaction progressed rapidly from the signing of a letter of intent on Jan. 17 to board approval on Tuesday. International industrial real estate transactions typically take six months to a year to complete, experts explained.

PSMC reported a consolidated revenue of NT$4.62 billion in January, up 8.17% month-over-month and 26.27% year-over-year, per Liberty Times.