FTC approves Micron plan
The Fair Trade Commission (FTC) yesterday approved Micron Technology Inc’s plan to purchase the remaining 67 percent stake in its Taiwanese DRAM arm, Inotera Memories Inc (華亞科技), in a deal worth about NT$130 billion (US$4.02 billion). The transaction is expected to be completed in the middle of this year and after that Inotera will become a wholly owned subsidiary of Micron Semiconductor Taiwan Co, a unit of the US company. Micron, the world’s No. 3 DRAM chipmaker, is offering NT$30 per common share to acquire all of the issued and outstanding shares of Inotera, as it aims to boost its long-term operational efficiency.
Hon Hai eyes TeleEye
Hon Hai Precision Industry Co (鴻海精密) yesterday said it is to spend HK$240.33 million (US$30.98 million) to acquire a 50.07 percent stake in TeleEye Holdings Ltd (千里眼控股) — a Hong Kong-based surveillance camera applications supplier. Hon Hai is to purchase 419.06 million shares worth HK$0.55 per share on the open market after authorities in Hong Kong approved its planned investment, the company said in a filing with the Taiwan Stock Exchange. Hon Hai said the investment is part of its efforts to develop its new business, without elaborating.
Board approves new shares
Taiwan Land Development Corp (台灣土地開發) yesterday said its board has decided to issue up to 80 million new shares to boost its working capital. The company said in a stock exchange filing that it plans to issue the new shares at NT$15 per share via a private placement at an undecided date within the next 12 months. The goal of the move is to raise funds for long-term development and strategic investment purposes, the company said.
New service to be launched
Wan Hai Lines Ltd (萬海航運), the nation’s third-largest container shipping company in terms of fleet size, yesterday announced to expand further on its present intensive intra-Asia network by launching a China-Manila-Thailand Service (CMT) with a maiden voyage on April 26. The joint venture service with Japan’s Interasia Lines Ltd (IAL) is to see Wan Hai operate two vessels of 700 20-foot equivalent units (TEU) type and IAL with one 700-TEU vessel. Wan Hai said the launch of the CMT service will enhance direct connections between China and ASEAN countries and among ASEAN countries.
Tigerair to open new route
Tigerair Taiwan (台灣虎航), a budget airline joint venture between China Airlines Ltd (中華航空) and Singapore’s Tiger Airways, yesterday said it is opening a flight route serving Sendai in Japan. The company said it will launch the Taoyuan-Sendai route beginning on June 29, making it the first budget airline to offer direct flights to Japan’s Tohoku Region.
Companies record Q1 dip
Taiwanese companies listed on the nation’s main bourse saw their total consolidated revenue contract by 1.21 percent year-on-year to NT$2.3 trillion last month, according to a statement by Taiwan Stock Exchange Corp on Tuesday. The decline in last month’s sales was attributed to weakening performance of the optoelectronics sector, oil and gas industries, as well as communication and networking companies. During the first quarter of the year, listed companies’ total sales were NT$6.3 trillion, down 4.8 percent year-on-year.
BULK PURCHASE: The French chain and Hong Kong-based Dairy Farm International reached a deal covering 224 stores, which is expected to be finalized by year’s end Carrefour SA yesterday announced it would acquire Wellcome Taiwan Co (惠康百貨) for 97 million euros (US$108.33 million), and bring all the Wellcome supermarkets (頂好超市) and Jasons Market Place stores nationwide under its banner within 12 months of the deal closing. The France-based hypermarket chain reached an agreement with Hong Kong-based Dairy Farm International Holdings (牛奶國際控股), the pan-Asian retailer that launched Wellcome Taiwan in 1987. The transaction involves 199 Wellcome supermarkets, which have average sales areas of 420m2 and 25 high-end Jasons Market Place stores, which have an average sales area of 820m2, as well as a warehouse in Taoyuan, Carrefour Taiwan (家樂福)
‘ONE-STOP SHOP’: A Miaoli official said that the factory in the Jhunan section of the Hsinchu Science Park would create more than 1,000 jobs and boost prosperity A new high-end IC packaging and testing plant planned by contract chipmaker Taiwan Semiconductor Manufacturing Co (TSMC, 台積電) in Miaoli County is expected to start operations in the middle of next year, Miaoli County Commissioner Hsu Yao-chang (徐耀昌) said. Hsu wrote on Facebook that TSMC, the world’s largest pure wafer foundry operator, would invest NT$303.2 billion (US$10.1 billion) to build the plant, the largest-ever single investment in Taiwan. However, TSMC declined to disclose the financial terms of the deal, while a company board meeting on May 12 approved a spending plan worth NT$168.2 billion as part of its investment plans. Construction of the
SCATTERED: Production would be dispersed among a number of countries, which would bring an end to so-called world factories, Hon Hai chairman Young Liu said Decentralized production would be the new focus in manufacturing, Hon Hai Precision Industry Co (鴻海精密) chairman Young Liu (劉揚偉) yesterday told an online forum held by the Market Intelligence & Consulting Institute (MIC, 產業情報研究所). “The COVID-19 pandemic exerted a heavy impact on supply chains as well as production ... [production] would no longer be concentrated in solely one country, this is the end of what we used to call world factories,” Liu said during a panel discussion hosted by MIC director Victor Tsan (詹文男). As the US and China continue to dominate and sway international relations, the rest of the world is
PLANNED OUT: The government is lifting sale and export restrictions on 60% of the 20 million masks made daily, but people can still make purchases using their NHI cards Twenty thousand boxes of 50 masks each would be on sale at FamilyMart convenience stores starting tomorrow, Taiwan FamilyMart Co Ltd (全家便利商店) said yesterday. A box of 50 masks would cost NT$249 for those with FamilyMart memberships and NT$299 for those without, with no limits placed on how many boxes a person can buy, the company said. Convenience store chain operator Hi-Life International Co Ltd (萊爾富) said that it would also start selling masks from tomorrow. It has yet to announce details about prices and quantity. Hypermarket chain operator Carrefour Taiwan (家樂福) said that it would start selling packs of five