New Delhi, July 8 -- Austrian electronics parts maker AT&S Austria Technologie & Systemtechnik AG has tied up €15 million (around $17.1 million or Rs 163 crore) in financing from a marquee international investor to fund the expansion of its printed circuit board manufacturing capacity in India and its integrated circuit (IC) substrate plant in Malaysia.

International Finance Corporation (IFC), the World Bank Group's private-sector investment arm, is set to back AT&S with structured debt, a lending instrument that is structured as debt but carries equity-like features - it has no fixed maturity, offers interest payments and converts into equity under specified conditions, giving the company quasi-equity capital without immediate dilution.

Proceeds will fund capital expenditure and working capital for the expansion of AT&S's PCB plant at Nanjangud, near Mysuru in Karnataka, and its IC substrates facility at Kulim in Malaysia's Kedah state.

Background

AT&S is listed on the Vienna Stock Exchange, with 64.29% of shares held by public shareholders on a free-float basis. The remaining 35.7% is held by the Androsch Private Foundation and the Dorflinger Private Foundation.

The company's Nanjangud facility has been operational since 2000, producing PCBs for the electronics and automotive sectors. AT&S plans a new plant on vacant land adjacent to the existing Nanjangud site. Environmental and social impact assessment for the greenfield facility must be completed before construction begins, per IFC's disclosures, with a January 2027 target.

This marks IFC's second engagement with AT&S's Asian operations, after an earlier investment in the Kulim facility under a separate project. That plant's regular headcount stands at around 2,650 as of May 2026 and is expected to rise to about 3,500 once the new production line is commissioned, IFC said, alongside a 30% increase in water use.

IFC' said in a disclosure that the investment would strengthen AT&S's capital base and support the use of funds raised in developed markets for emerging-market investment, while helping deepen India's domestic PCB and IC substrate supply chain, which remains reliant on imports.

AT&'S' India operations

AT&S is a global manufacturer of high-end IC substrates and printed circuit boards, supplying interconnect technologies for mobile devices, automotive and aerospace, industrial, medical, and high-performance computing applications including AI.

AT&S entered India in 1998, acquiring the Indal Electronics plant at Nanjangud, near Mysuru - then the country's largest PCB factory - and began production there in 2000.

Beyond India, AT&S operates plants in Leoben and Fehring (Austria), Shanghai and Chongqing (China), and Kulim in Malaysia.

Published by HT Digital Content Services with permission from VC Circle.