Fri, Mar 31, 2017 - Page 12 News List

TLDC to raise capital through private placement

By Crystal Hsu  /  Staff reporter

Taiwan Land Development Corp (TLDC, 台灣土地開發) has approved plans to raise new capital through a private placement as the Taipei-based developer aims to introduce cloud-computing technology in its projects.

The company’s board last week agreed to issue 100 million new shares, tentatively priced at NT$12 each, to raise NT$1.2 billion (US$39.6 million) in new capital, TLDC chairman Chiu Fu-sheng (邱復生) said.

“The firm, which used to focus on the development of government-owned industrial parks, is sailing on a new course nine years after its full privatization from a state-run business,” Chiu told a news conference in Taipei.

It is developing mixed-use complexes in Hsinchu, Nantou, Hualien and Kinmen that are to feature cultural and religious elements, as well as environmentally friendly designs, Chiu said.

All of the complexes could be ideal retirement communities in light of their scenic locations, lush green areas, access to recreational facilities and “smart” living devices, he said.

The firm has obtained permits to develop 2,100 residential units with more than 100,000 ping (330,579m2) of floor space, he said.

The projects are expected to bring in about NT$50 billion in revenue this year, he said.

TLDC is in talks with parties for the private placement, which still needs to win shareholder approval.

It plans to hold its annual general meeting on June 28, including the election of new board members.

Chiu left his media businesses in 2008 to concentrate on running TLDC.

Since then, TLDC’s assets have risen fivefold from NT$4.13 billion to NT$25 billion last year, while its net worth had increased from NT$11.5 to NT$23.81 per share, financial officer Chen Wan-ling (陳婉玲) said.

One of the top three industrial-park developers in the nation, TLDC has carried out 30 construction projects in different industrial parks with a combined area of 3,976 hectares over the past nine years, a company report showed.

Construction on another six projects are still underway, including efforts to build a “smart” and innovative industrial park in Taichung, the company said.

Its debt ratios stood at 77.17 percent in 2008, but dropped to 42.9 percent in 2015, Chen said.

TLDC shares yesterday edged up 0.46 percent to NT$11 in trading on the Taiwan Stock Exchange in Taipei.

The stock has increased 8.37 percent this year, compared with the broader market’s 6.43 percent rise over the period.

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