LA Semiconductor addresses rumors, says Pocatello facility sale not a done deal

POCATELLO — Rumors have been circulating in recent weeks that a major semiconductor facility in Pocatello has been sold, potentially signaling significant changes for the city’s growing technology sector.

However, company officials say that is not the case.

In September, LA Semiconductor announced it had hired Macquarie Group to oversee the marketing and sale of its facility located in Pocatello. While the process is ongoing, the company confirmed this week that the facility has not been sold, though a letter of intent is currently under consideration.

“We believe, as this process continues, it will be a positive move for the community and the state,” said Pat Sedlmayer, LA Semiconductor’s vice president of product marketing and general manager. “Demand for onshoring semiconductor manufacturing in the United States remains strong.”

“It’s our hope that as things move forward, we can keep the jobs we have, with the opportunity to add more, as semiconductors continue to make an impact and remain in Pocatello,” he added.

Under the agreement announced last fall, the Pocatello fabrication facility — including the site, installed equipment and related assets — is being marketed under the guidance of Macquarie’s semiconductor and technology team within its Commodities and Global Markets business.

In a previous statement, Sedlmayer said buyers are increasingly prioritizing “ready-to-run” brownfield fabrication plants that can be brought online faster and with fewer risks than building new facilities from scratch. That demand has helped drive market activity within the United States and aligns with LA Semiconductor’s strategy to streamline operations and focus on being an ITAR-registered, onshore semiconductor foundry.

Founded in 2021, LA Semiconductor is the newest U.S.-owned, fully operational pure-play semiconductor foundry producing analog, digital and mixed-signal products. The company acquired the Pocatello fabrication plant from Onsemi, establishing a 180-nanometer capable contract fab in the heart of the United States.

RELATED | Onsemi to permanently close facility in Pocatello

The Pocatello facility, which employs more than 150 people, sits on a 31-acre campus and includes over 57,000 square feet of cleanroom space and approximately 554,000 square feet of total building space. The fab currently produces custom technologies ranging from 0.18 microns to 1.5 microns.

For more information on LA Semiconductor, visit lasemiconductor.com.