(Yicai Global) Aug. 1 -- Wuhan Jingce Electronic Group will invest JPY2.6 billion (USD23.8 million) in Japan's Wintest for 61 percent of its shares.

The Yokohama-based chip tester will thus become a subsidiary of Jingce Electronic after the deal concludes, Jingce said in a statement yesterday.

Wintest shares [TYO:6721] rose over 31 percent in morning trading to JPY195 (USD1.78) before retreating in mid-morning. Jingce's [SHE:300567] also gained over 2 percent to CNY49.69 (USD0.45) by mid-morning.

Its investment in Wintest will help Jingce further improve its industrial positioning in the semiconductor test business segment and accelerate its product development and industrialization, according to the statement.

Founded in 1993, Wintest develops and distributes microprocessor automatic inspection devices. The company had net assets of CNY16 million (USD2.3 million), total assets of CNY36 million, revenue of CNY9.1 million and net losses of CNY19.6 million as of April 30.

Formed in 2006, Jingce specializes in research and development, production, sales and service of flat panel display test systems.

Editor: Ben Armour