U.S. chipmaker GlobalFoundries projects its planned Malta, New York, fab will raise annual diluted earnings per share by $0.10 to $0.15 in 2027 under a wider U.S.-Japan manufacturing arrangement.
Only the first fab is covered by the estimate. GlobalFoundries classifies the forecast as non-IFRS and bases it on an arrangement start date of Jan. 1, 2027. The estimate depends on a completed transaction, finalized agreements and the accounting treatment. The plant is targeted to start operations in 2029.
GlobalFoundries says the overall program has a funding ceiling of up to $21 billion. The first fab is expected to cost about $10 billion. Roughly another $10 billion is associated with a potential second fab, subject to approval. Japan would provide the investment. Each fab is projected to add about 900,000 300-millimeter-equivalent wafers of annual capacity; if both are built, their combined addition could reach roughly 1.8 million wafers a year.
GlobalFoundries says the U.S. and Japanese governments would jointly own a special purpose vehicle to arrange financing. For the first fab, that vehicle would own the infrastructure and tooling, provide the capital and cover the plant’s ongoing expenses. GlobalFoundries would contribute the technology and be responsible for building and running the facility. Its compensation would include fees for technology and project work, a share of EBITDA and repayment for services it provides across operations.
GlobalFoundries projects annual EPS accretion of $0.50 to $0.75 over the longer term, plus about $3 billion in adjusted free cash flow over the first decade. Its job projections for New York’s Capital Region include more than 1,000 skilled manufacturing positions and roughly 27,000 roles in construction and related work.
The company’s broader package also includes a planned equity stake of about 4% for the U.S. Commerce Department. It would shift $955 million of an existing CHIPS and Science Act award toward semiconductor projects in Malta and Burlington, Vermont, involving silicon photonics, silicon-germanium and advanced packaging.
