Abu Dhabi’s state fund ATIC has offered S$2.68 a share in cash to buy Singapore chip-maker Chartered Semiconductor, valuing the firm at $1.8 billion. This would be the second major investment by Advanced Technology Investment Co (ATIC )in the global microchip industry after it agreed in March to pay $2.1 billion for 55.6% of a joint venture with Advanced Micro Devices creating Globalfoundries. Chartered ranks alongside China's Semiconductor Manufacturing International Corp, and trails larger rivals TSMC and UMC, which own about a two-thirds share of the $20 billion chip foundry market.

Singapore Temasek Holdings , which has a 62% stake in Chartered, fully supports the acquisition, Chartered said in a statement. AGENCIES