Taiwan Semiconductor Manufacturing, the world's largest foundry, announced on Friday its plan to sell up to 152 million shares in Vanguard International Semiconductor through a block trade to institutional financial investors, reducing its stake in the chipmaker.

TSM stated that upon completion of the proposed share sale, its ownership in Vanguard would decrease from approximately 27.1% to about 19% on a fully diluted basis. The company also indicated that it currently has no plans for further reductions in its Vanguard holdings in the foreseeable future.

At current market prices, the 152 million Vanguard shares are valued at around NT$26.8 billion (equivalent to $850 million).

TSM emphasized that this divestment will not affect its strategic partnership with Vanguard, including collaborations in interposer foundry production and gallium nitride (GaN) technology licensing. The company added that the share sale is part of its strategic plan to focus resources on developing its core business.

In June 2024, TSM had already withdrawn from Vanguard's board of directors, ceasing to appoint board representatives.