Taiwan Semiconductor Manufac-turing Co (TSMC, 台積電), the world's biggest contract chipmaker, yesterday said it planned to sell up to US$2.58 billion in TSMC shares in the US on behalf of Royal Philips Electronics NV.
The latest share offering proposed by Philips would be the second leg of the Dutch company's long-term efforts to offload its total holdings in TSMC by 2010, which is in line with Philip's strategy of exiting the semiconductor industry.
The board of TSMC yesterday approved the plan to sell up to 240 million American Depository Receipts (ADRs), representing as many as 1.2 billion TSMC common shares, for Philips, the Hsinchu-based chipmaker said in a statement.
The 1.2 billion shares represent about 0.77 percent of the total 25.83 billion issued shares. The price of TSMC ADRs dropped 0.46 percent to US$10.75 last Friday. Each ADR represents five TSMC common shares.
Philips would not sell any more TSMC shares in the form of ADRs in the future, as it has agreed to only sell up to US$2.5 billion in TSMC ADRs on the New York Stock Exchange.
That is part of the agreement between Philips and TSMC announced on March 9 which announced the gradual sale of the US$8.5 billion TSMC shares owned by Philips during the next three years.
In mid March, Philips made the first step by selling 887 million TSMC shares for NT$65 (US$1.96) each to local long-term investors, reducing its holding to 12.8 percent from the original 16.2 percent.
‘ACCORDING TO PLAN’: A company official said that it has set up production sites worldwide to provide services and that its Wisconsin project was going smoothly Hon Hai Precision Industry Co’s (鴻海精密) smart manufacturing center in Wisconsin would begin trial manufacturing in the middle of this year, the company said yesterday, adding that it plans to build a research institute to develop key technologies to support growth over the next five years. Hon Hai, known internationally as Foxconn Technology Group (富士康科技集團), said in an annual report submitted to the Taiwan Stock Exchange that its planned Foxconn Institute for Research in Science and Technology would conduct research into artificial intelligence, next-generation communications, quantum computing, cybersecurity and nano semiconductors in Taiwan. Hon Hai is to make products at the center
TV and online retailer Momo.com Inc (富邦媒體) yesterday said it has set up a new logistics subsidiary, Fu Sheng Logistics Co (富昇物流), to oversee the company’s extensive shipping operations. Leveraging Momo’s 23 satellite warehouses and distribution centers nationwide, Fu Sheng will be in charge of executing the retailer’s same-day shipment plan for deliveries in Taipei, New Taipei City, Taoyuan, Taichung, Tainan and Kaohsiung, Momo said in a press release. Seeking to further shorten its supply chain, the company is to set up another seven satellite warehouses and distribution centers by the end of the year. “Fu Sheng has a fleet of 200 couriers
E Ink Holdings Inc (元太科技), the world’s sole supplier of e-paper displays for e-readers and shelf labels, posted its best quarterly net profit for the first quarter in nine years amid increased demand during a traditionally slow season. Net profit soared 80 percent to NT$787 million (US$26.23 million) in the quarter ended March 31, compared with NT$438 million a year earlier. That translated into earnings per share of NT$0.69, up from NT$0.39. E Ink posted lower royalty income of NT$371.23 million last quarter from NT$448.74 million a year earlier, a company financial statement showed. E Ink said that it expects royalty income to
The latest US government action against Huawei Technologies Co (華為) takes direct aim the company’s HiSilicon (海思) chip division — a business that in over the past few years has become central to China’s ambitions in semiconductor technology, but is now to lose access to tools that are central to its success. That could make it the most damaging measure by the US yet against a Chinese company. On Wednesday, US officials told reporters that the Huawei’s chip division functioned as a “tool of strategic influence” for the Chinese Communist Party. Huawei, for its part, denounced the US allegations and called the