EnSilica plc (AIM: ENSI, OTC: ENSIF), a leading fabless microchip maker with a growing portfolio of reusable IP, serving the Space & Comms, Industrial, Automotive and Healthcare markets, is pleased to announce a new 7 year manufacturing and supply contract to produce an Arm based sensing chip for a German manufacturer of automotive components (the “Contract”).
EnSilica was awarded the Contract after completing a competitive tender process. As the chip is already in production, no design or tape-out is required. EnSilica will now be responsible for the manufacturing and supply of the chip to the customer.
The Contract is expected to generate around $75 million in revenue over seven years, with approximately $4 million of revenue expected in the financial year ending 31 May 2027, with a gross margin reflecting the manufacturing-only nature of the Contract.
EnSilica was selected over a number of competing suppliers, reflecting the Company’s growing expertise in the automotive sector and track record of delivering chip production at scale.
Ian Lankshear, CEO of EnSilica, commented:
“We are pleased to have secured this Contract, which will not only generate material future revenues but is expected to also deliver significant strategic benefits for EnSilica.
The Contract opens up a connection to a Tier 1 German automotive supply chain, increases wafer volume shipments through our partner foundries – reinforcing our position as a key customer – and it secures the VDA-aligned automotive quality standard required to operate within the German automotive sector.
It also places EnSilica in a stronger position to secure future higher-margin ASIC design opportunities in this important market.”
Read the full announcement…
https://www.londonstockexchange.com/news-article/ENSI/75m-contract-win/17615551
EnSilica: Automotive Manufacturing and Supply Contract Win – Expected to deliver $75 million in revenue over 7 years
by u/_DoubleBubbler_ in DoubleBubbler
