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CG Power Semi expects construction and equipment move-in for its G2 OSAT facility at Sanand

ICICIdirect Research 22 Sep 2026 DISCLAIMER

News: CG Power Semi expects construction and equipment move-in for its G2 OSAT facility at Sanand to be completed by Q2CY27, with production likely to start in Q4CY27 or early 2028. CG Semi is investing over ₹7,600 crore ($870 million) over five years across its G1 and G2 facilities; G1 has peak capacity of ~0.5 million units/day, while the two-unit complex is expected to scale to ~14.5 million units/day once G2 is operational. The company is also exploring opportunities under ISM 2.0, although it is currently not planning to build a semiconductor fab.

View: G2 commissioning should materially scale CG Semi’s semiconductor packaging capacity and strengthen CG Power’s positioning in India’s emerging OSAT ecosystem.  CG Semi is targeting $500 million (~₹4,200 crore) annual revenue at full scale, with ~70% capacity utilisation within four years. The company is also exploring opportunities under ISM 2.0, while Axiro, its fabless design subsidiary, is expanding into Edge AI, robotics and industrial automation.

Impact: Positive

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