SINGAPORE Aug 29 China's Tianshui Huatian Technology Co has withdrawn from talks about a possible acquisition of Singapore technology business STATS ChipPAC because of unfavourable market conditions, it said on Friday.
Shares in STATS ChipPAC have jumped by 24 percent this week on talk of a possible bid for the company, which has a market value of S$1.3 billion ($1.04 billion) and is majority owned by state investor Temasek Holdings.
The Singapore company said on Thursday that it was in talks with Jiangsu Changjiang Electronics Technology Co (JCET) and Huatian about a possible deal.
Huatian said in a statement to the Shenzhen stock exchange that it had held preliminary talks with STATS ChipPac, which provides semiconductor packaging design and assembly solutions, but said that acquisition conditions were not "favourable".
Huatian's shares, which have been suspended since Aug. 29, will resume trading on Sept 1.
JCET has not made any statement yet on a possible deal, though its shares have been suspended since Aug. 29. (1 US dollar = 1.2478 Singapore dollar)
(Reporting by Lee Chyen Yee and Rachel Armstrong; Additional reporting by Meg Shen in Hong Kong; Editing by David Goodman)