Magnachip Semiconductor Corporation (NYSE:MX) is exploring a new sale process, with South Korean industry players and private equity firms in the pool of potential buyers. JP Morgan, which is advising the chipmaker on the sale, has reached out to prospective buyers to gauge interest, according to industry sources. The investment bank is expected to send out a teaser to the pool of potential buyers once the company's 2021 financial results become available.

The move comes after Magnachip's first attempt to sell itself late last year. Wise Road Capital had agreed to buy the South Korea-headquartered company for $1.4 billion, but the planned acquisition was canceled after the US government blocked the deal. Potential buyers who previously expressed interest have started to look into the company again.

In the pool of potential buyers are South Korean industry players such as Samsung Electronics Co., Ltd. (KOSE:A005930), SK hynix Inc. (KOSE:A000660) and LX Holdings Corp. (KOSE:A383800), as well as large private equity firms.