An anticipated board reshuffle at Taiwan International Securities Corp (金鼎證券) yesterday had a dramatic twist, with the incumbent and new management teams each claiming to have won the majority of the nine seats.
The securities firm’s incumbent management team, led by group chairman Chang Ping-chao (張平沼), yesterday refused to step down and dismissed the marathon shareholders’ meeting at about 6pm after announcing it had won six of the nine seats on the board, including two independent directors seats and two supervisory seats.
The one-sided conclusion was the result of the 42.9 percent of votes cast by the incoming management team, representing China Development Financial Co (開發金控), not being counted after the incumbent management team ruled, at about 1:30pm, that the ballots should be sealed for future legal review on the grounds that China Development’s stake in the company was acquired illegally and may “endanger the company’s interests.”
When contacted by the Taipei Times, Chang refused to comment whether yesterday’s result in favor of the incumbent management team was legal.
“I am busy now,” was all Chang would say.
Before the meeting was convened early yesterday morning, Chang had vowed to “chase China Development down with a bold hand if it were to attempt to replace the brokerage firm’s management team.”
China Development vice president Willie Tsai (蔡維力), who was later elected a board member at Taiwan International, immediately took over the shareholders’ meeting after Chang’s team had left.
Tsai ordered a recount of all the votes, including those cast by his company.
China Development then announced it had won seven of the seats before summoning its own shareholders’ meeting.
In response to the firm’s tug of war, the Financial Supervisory Commission (FSC) yesterday said that further legal complications needed to be sorted out before a conclusion could be reached as to which party had actually won control of the firm.
FSC chief secretary Lu Ting-chien (盧廷劼) told reporters that both parties should seek legal clarification from the Ministry of Economic Affairs to determine if the actions taken by Chang’s team were legally-binding.
“Or they can take legal action to settle the dispute,” Lu said, adding that the commission hoped that both parties could reach some common ground and ensure that the firm’s daily operations were not affected by the dispute.
Shares of both Taiwan International fell NT$0.29 to close at NT$9.15 yesterday, while NT$0.02 was shaved off China Development shares, which closed at NT$7.82.
NOTABLE SHIFT: By 2030, 50% of all laptops would be assembled in Southeast Asia, while Taiwan would still mostly focus on research and development, a report said Global laptop and desktop computer supply chains are expected to shift significantly away from China in the next 10 years, a Market Intelligence & Consulting Institute (MIC, 產業情報研究所) report said. By 2030, only 40 percent of global laptop production would remain in China, said the report, which was released on Thursday. “The reshuffling of the global supply chain will be one of the most important trends in the next 10 years,” the institute said in the report. “In the long run, key component makers will follow laptop assemblers in moving out of China.” The Taipei-based institute predicted most key component makers
NO VIRUS BLUES: A SEMI Taiwan official said that the virus does not slow down the global semiconductor industry’s investment in manufacturing equipment The production value of the nation’s semiconductor industry is expected to grow 16.7 percent this year from last year, outpacing the global industry’s 3.3 percent growth, industry association SEMI said yesterday. That would help Taiwan safeguard its second spot in the global semiconductor market with a production value of more than NT$3 trillion (US$102.73 billion), SEMI Taiwan president Terry Tsao (曹世綸) told a media briefing in Taipei for the Semicon Taiwan trade show beginning today. The global semiconductor industry’s production value is expected to increase to US$426 billion this year, SEMI said. In terms of semiconductor equipment investment, equipment billings from Taiwanese firms
Intel Corp has received licenses from US authorities to continue supplying certain products to Huawei Technologies Co (華為), a company spokesman said yesterday. Washington has been pushing governments around to world to squeeze out Huawei, saying that the telecom giant would hand data to Beijing for espionage. From Monday last week, new curbs have barred US companies from supplying or servicing Huawei. This week, the state-backed China Securities Journal reported that Intel had received permission to supply Huawei. China’s Semiconductor Manufacturing International Corp (SMIC, 中芯國際), which uses US-origin equipment to make chips for Huawei and other companies, last week confirmed that it had sought
Merck Group Taiwan yesterday said that it plans to invest substantially on expanding its fab in Kaohsiung’s Lujhu District (路竹) to better serve its local customers, including Taiwan Semiconductor Manufacturing Co (TSMC, 台積電). The company said it plans to expand its production space by 50 percent in the next five years and its workforce by about 40 percent, Merck Group Taiwan managing director Dick Hsieh (謝志宏) told a media briefing in Taipei. Hsieh declined to disclose investment details, but said that the latest investment would exceed the total amount Merck has invested in Taiwan over the past few years. Those investments would be