South Korean authorities have raided the local office of Chinese chipmaker Montage Technology as part of an investigation into a possible violation of competition law, the company disclosed in a stock exchange filing.
In the filing, released Thursday, Montage stated it has been working fully with the Fair Trade Investigation Division of the Seoul Central District Prosecutors’ Office. The company also noted that none of its directors or employees have been charged with any wrongdoing by any government authority at this point.
South Korea is a significant market for Montage, accounting for 2.93 billion yuan — equivalent to approximately $432.63 million — in sales during fiscal year 2025. That figure represents more than half of the company’s total group revenue, according to the filing.
Established in 2004, Montage holds the title of the world’s largest memory interconnect chip supplier, commanding a 36.8% share of the global market by revenue in 2024, according to its prospectus citing research and consulting firm Frost & Sullivan.
The company had a strong stock market debut in Hong Kong earlier this year, with shares jumping 64% on their first day of trading after the company raised HK$7.04 billion — about $897.99 million — in a share sale aimed primarily at funding research and development.
News of the South Korean investigation hit Montage’s stock hard. Its Hong Kong-listed shares dropped 23%, closing at HK$278.6 on Thursday, while shares trading in Shanghai fell 16.4%.
