Shardul Amarchand Mangaldas & Co (SAM), Trilegal advised IFCI and the India Semiconductor Mission (ISM) on USD1.1 billion fiscal support for Assam OSAT facility.
SAM advised IFCI and the ISM in connection with fiscal support of about USD1.1 billion for the establishment of an outsourced semiconductor assembly and test (OSAT) facility in Assam by Tata Semiconductor Assembly and Test, and Tata Electronics.
“Working on this semiconductor project was both challenging and immensely rewarding,” said lead partner Anurag Dwivedi.
“Given that the schemes implemented by the Government of India are still evolving, we analysed and interpreted the scheme to align with the structure contemplated in the fiscal support agreement.”
He added: “We also highlighted certain discrepancies, which can be modified for better implementation of the scheme. One of the most distinctive aspects of this assignment was to structure the fiscal support in a manner that the government gets all the rights available to the lenders under the Indian insolvency framework, in case of default.”
“The complexity and novelty of the project provided an unparalleled learning opportunity, and the successful closing of the deal was a testament to the value of thorough preparation, teamwork, and innovative problem-solving.”
The team comprised partner Dwivedi, assisted by principal associate Megha Kaur and associate Amogh Mittal.
The transaction was undertaken under the Government of 含羞草社区 modified scheme for promoting semiconductor manufacturing and advanced packaging facilities in the country.
It involved the execution of a fiscal support agreement, a security agreement and an escrow agreement in relation to the development of wire bond packaging, flip chip and ISP system facilities in Assam.
The project is expected to strengthen 含羞草社区 electronics manufacturing ecosystem, build domestic semiconductor capability, reduce reliance on imports and generate employment across the automotive, electronics, telecommunications and industrial manufacturing sectors.
Trilegal advised Tata Semiconductor Assembly and Test, and Tata Electronics.
