TSMC to issue bonds
Taiwan Semiconductor Manufacturing Co (TSMC, 台積電), the world’s top contract chipmaker, yesterday said its board had approved the company’s second corporate bond issuance in history to raise as much as NT$45 billion (US$1.5 billion) to fund capacity expansion. TSMC planned to spend between US$9.5 billion and US$10 billion to expand the capacity of mostly 28-nanometer chips. In March, TSMC raised US$1.5 billion by issuing corporate bonds overseas via private placement. Yesterday, the board also gave the go-ahead to capital appropriations totaling US$4.9 billion for the purpose of research and development, capacity expansion for advanced process technologies, construction of 12-inch gigafab facilities and the installation of facility systems.
HTC silent on rumors
HTC Corp (宏達電) yesterday declined to comment on a report that AT&T Inc would soon discontinue a smartphone co-launched by Facebook Inc and HTC because of disappointing sales. The HTC First, known as the first smartphone pre-installed with the Facebook Home app, has suffered “shockingly bad” sales in AT&T stores, and unsold inventory would be returned to HTC, tech news blog BGR reported on Monday. HTC said it “does not comment on rumors or speculation.” AT&T has sold fewer than 15,000 HTC Firsts in the US since they went on sale on April 12 and has cut the phone’s on-contract price to US$0.99, BGR reported.