This press release was issued by Frencken Group.

• New facility will form the cornerstone of the next growth phase for Mechatronics Singapore

• Strengthens position to deliver ultra-high precision and ultra-clean assemblies for customers in the semiconductor and analytical life sciences sectors
• Expands capacity catering to our aerospace business segment

Frencken Group Limited (“Frencken” or the “Company” and together with its subsidiaries, the “Group”), a global integrated technology solutions company, today held a groundbreaking ceremony at the site of its upcoming manufacturing facility in Kaki Bukit Avenue 5, Singapore (“New Facility”). This marks the development of a larger and improved facility to expand and consolidate the Group’s Mechatronics operations in Singapore (“Mechatronics Singapore”).

Frencken is honoured that Mr Lionel Lim, Vice President and Head, Technology Hardware and Equipment of Singapore Economic Development Board (“EDB”) and Ms Lim Wee Lee, Director of JTC were present to grace its groundbreaking ceremony. The Group’s non-executive Chairman, board of directors, customers and business partners, as well as management and employees were also at the site to commemorate this milestone.

Said Mr Dennis Au, President of Frencken, “We are excited to embark on this strategic initiative which will set the stage for Mechatronics Singapore’s next chapter of growth. Frencken’s investment underscores our commitment and confidence in Singapore’s ongoing growth into a significant and vibrant semiconductor hub. We foresee continued development of the country’s semiconductor ecosystem as it remains a prime investment location for companies across the value chain.

As we celebrate this groundbreaking milestone, I would like to take this opportunity to acknowledge the dedicated support and valuable contributions from EDB and JTC. With their support, Frencken has this opportunity to lift our production scale and contribute to the progress of the technology manufacturing sector in Singapore.”

“Frencken’s continued growth in Singapore underscores our position as a trusted hub for advanced manufacturing and innovation. With the expanded manufacturing capacity and enhancement of its local capabilities, Frencken will be able to better serve global markets and high-growth industries like semiconductor and life sciences, from Singapore. EDB looks forward to deepening our partnership with Frencken and other like-minded companies to grow their operations and create skilled jobs in Singapore,” said Lionel Lim, Vice President and Head, Technology Hardware and Equipment, EDB. 

Construction of the New Facility is slated to start in the third quarter of 2025 and complete in the first quarter of 2027. Upon completion, the relocation and consolidation of Mechatronics Singapore’s operations to the new site will be carried out in phases. Entailing an estimated development cost of around S$63 million, the New Facility is expected to yield a gross floor area of 28,594 square metres which will be around 1.4 times the size of Mechatronics Singapore’s current combined operations situated at Changi North and Seletar Aerospace Link.

The New Facility will form the cornerstone for Mechatronics Singapore’s next phase of growth, as it is expected to drive higher operational efficiencies and quality assurance via the consolidation, while expanding production capacity and competencies for business opportunities.

Said Mr Wang Liang Horng, Managing Director and Vice President of Frencken Mechatronics Asia, “To prepare for upcoming customer programs, we are scaling up production capacity especially in cleanroom assembly which is projected to triple. This will enable Mechatronics Singapore to handle more high-IP and complex projects, and strengthen our position in the wafer fabrication equipment sector.

As we target more complex programs, we are also investing in advanced technologies and equipment at the New Facility. These upgrades will sharpen our core strengths to deliver ultra-high precision and ultra-clean assemblies demanded by customers in the wafer fabrication equipment and analytical life sciences sectors.”

To this end, plans are in the pipeline to increase automation and invest in state-of-the-art equipment to augment capabilities in high precision engineering such as submicron machining, as well as advanced cleaning technologies.

Besides enhancing its competitive position to capitalise on the sanguine long-term outlook of the semiconductor industry, the New Facility will also enable the Group to support increasing program transfers to Asia from its major semiconductor and analytical life sciences customers based in Europe.

Frencken’s teams in Europe and Asia have been working on program expansions for amongst others ASML (a leading supplier to the semiconductor industry, headquartered in the Netherlands), contributing to ASML’s strategy to expand their supply chain for mainstream products in South-East Asia. ASML is a key customer with whom the Group has built a long-term relationship.

“Indeed, our initiative to bolster our operations in Singapore dovetails the Group’s ongoing technology and knowledge transfer initiatives between its Mechatronics operations in Europe and Asia. Frencken sees Singapore as a strategic base to serve our local and global customers, and the investment here as a signal of the Group’s belief in our long-term business prospects with customers. We aim to shape Mechatronics Singapore into a larger growth catalyst by reinforcing its foundation to pursue opportunities across our semiconductor, analytical life sciences and aerospace portfolios and drive the Group’s mechatronics division,” Mr Au commented.