Dunkin’ Brands’ IPO priced
The parent company of Dunkin’ Donuts and ice-cream chain Baskin-Robbins is pricing its initial public offering at US$19 a share, above the forecast price range. Dunkin’ Brands Group Inc says it is offering roughly 22.3 million shares at US$19 each. The stock was scheduled to start trading yesterday on the Nasdaq market under the ticker symbol DNKN. At US$19 a share, the stock sale will raise about US$423 million before expenses. Dunkin’ Brands plans to use the IPO funds to pay down debt, but could also have money left over for expansion plans.
LG’s Q2 profits tumble
South Korea’s LG Electronics said second-quarter net profits plunged 87.3 percent from a year earlier due to flagging sales of mobile phones and televisions. Net profit was 108.4 billion won (US$103.4 million) from April to last month, compared with 856.4 billion won a year earlier. The second-quarter result represents a return to profitability following two quarters of losses.
Consumer prices up 0.9%
Australian consumer prices rose more than expected last quarter while key measures of underlying inflation were alarmingly high, reviving pressure for an increase in interest rates and lifting the Australian dollar to a 29-year peak. The main trimmed-mean measure of underlying inflation rose 0.9 percent in the second quarter, above the 0.7 percent forecast and matching the high result from the first quarter. The headline measure of consumer prices (CPI) increased by 0.9 percent in the second quarter, again above market forecasts with a range of prices up from fruit to health and petrol. For the year, the CPI was up 3.6 percent, the fastest pace since late 2008.
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