GlobalFoundries Is Said to Explore Merger With Taiwan’s UMC (1)

GlobalFoundries Inc. is exploring a potential merger with the Taiwanese chipmaker United Microelectronics Corp. as part of a long-shot deal aimed at creating a more resilient manufacturer of older-generation semiconductors, people familiar with the situation said.

Tim Breen, who was named as GlobalFoundries’ incoming chief executive officer in February, has been open to considering deal options including a possible tie-up with UMC as he prepares to take the helm in April, the people said, asking not to be named because the discussions are private.

It’s not clear whether a deal will actually materialize, and a purchase of UMC might ...