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CG Power subsidiary, CG Semi, has commenced commercial production

ICICIdirect Research 06 Jul 2026 DISCLAIMER

News: CG Power's subsidiary, CG Semi, has commenced commercial production at its G1 Outsourced Semiconductor Assembly and Test (OSAT) facility in Sanand, Gujarat. The facility has a peak capacity of 300 million units per year and forms part of the company's ₹7,600 crore investment plan to develop two OSAT facilities (G1 and G2) over five years in partnership with Renesas Electronics and Stars Microelectronics.

View: The commencement of commercial production marks a key milestone for CG Power's semiconductor business and validates its execution under the India Semiconductor Mission. As capacity ramps up and the larger G2 facility becomes operational, the OSAT business could emerge as a meaningful long-term growth driver, strengthening CG Power's presence in the high-growth semiconductor manufacturing ecosystem while supporting India's import substitution and electronics manufacturing ambitions.

Impact: Positive

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