Hon Hai revenue rises
Hon Hai Precision Industry Co (鴻海精密), one of Apple Inc’s iPhone assemblers, yesterday posted revenue of NT$322.78 billion (US$10.66 billion) for last month, up 0.12 percent year-on-year from NT$322.38 billion in April last year. On a monthly basis, it represented a 5.53 percent decline from NT$341.69 billion in March, Hon Hai’s filing with the Taiwan Stock Exchange said. Hon Hai attributed the monthly decline to the softness of its computing products, while the performance of its devices stayed flat from a month earlier. Sales of its consumer products only dropped slightly last month from a month earlier, it said.
Pegatron reports record sales
Pegatron Corp (和碩), an Apple Inc iPhone assembler, yesterday reported sales of NT$82 billion for last month, its strongest performance over the same period in its history, the firm said in a stock exchange filing. The monthly result represented a surge of 26.01 percent annually and 10.37 percent from a month earlier, the company’s filing said.
Vision Fund close to US$95bn
SoftBank Group Corp is expected to announce commitments of as much as US$95 billion for its Vision Fund, people familiar with the matter said. The fundraising drive is expected to be announced next week, the people said, asking not to be identified as the information is private. A representative of Tokyo-based SoftBank declined to comment. Chief executive officer Masayoshi Son’s investment pool has attracted interest from Saudi Arabia’s sovereign wealth fund, which said it would consider offering as much as US$45 billion, as well as technology giants such as Apple and Qualcomm Inc, which have also said they would participate. Abu Dhabi’s Mubadala Development Co is also considering committing as much as US$15 billion, people familiar with the matter said. SoftBank plans to contribute at least US$25 billion of its own capital in the next five years. The Japanese company announced plans for the technology fund last year, aiming to create a one of the biggest technology investors over the next decade.
US dollar rises against NT
The US dollar yesterday rose against the New Taiwan dollar, gaining NT$0.008 to close at NT$30.266. Turnover totaled US$744 million during the trading session. The greenback opened at NT$30.220 and moved between NT$30.216 and NT$30.290 before the close. Despite the recent pullback, local currency has risen about 7 percent against the greenback since the beginning of this year, which has led to concern that exporters could see their sales and earnings fall, and that calls could be made for the central bank to intervene in the foreign exchange market. “The central bank should move to prevent international speculative capital inflows and outflows from affecting the FOREX market,” said Hiwin Technologies Co, the nation’s largest manufacturer of linear-motion devices. Noting that 80 percent of the company’s sales rely on exports, the toolmaker said a fast appreciation of the currency could significantly affect its turnover and margins. While businesses should upgrade to increase their added value and reduce the effects of fluctuations in foreign exchange rates, the central bank should maintain a stable exchange rate because a rise or fall in domestic currency is closely related to national competitiveness, Hiwin said.
Gogoro Inc (睿能創意) yesterday launched its first electric bicycle, the Gogoro Eeyo 1, in Taiwan, after unveiling the bike in New York in late May and in France on Tuesday. The company said it would also introduce the series in other European countries such as Germany and the Netherlands. The “Eeyo project” is the fourth of Gogoro’s eight projects that concentrate on smart transportation, which includes Gogoro’s electric scooter, battery swap system and electric scooter sharing service, company founder and chief executive officer Horace Luke (陸學森) told a media briefing in Taipei. “There are various types of city commuters. We will not
EXPERIMENTAL DRUG: While news about a COVID-19 vaccine is more eye-catching, developing a treatment would be more viable, the Senhwa boss said Senhwa Biosciences Inc (生華科) aims to raise NT$1.5 billion (US$50.57 million) by issuing 15 million new common shares in the third quarter of this year to fund the research of new drugs, including the experimental drug Silmitasertib for the treatment of COVID-19, the company said on Monday. That would be the firm’s largest fundraising effort after it raised more than NT$1.4 billion from an initial public offering on the Taipei Exchange (TPEX) in April 2017, chief financial officer Sarah Chang (張小萍) told the Taipei Times by telephone. The price of the new shares would depend on the firm’s average share price
NOT A PANACEA: Offering 5G services would not solve the problem of declining telecom incomes, chairman Sheih Chi-mau said, expecting a flat 5G telecom revenue Chunghwa Telecom Co (中華電信) yesterday became the nation’s first telecom to debut its 5G services, offering tiered tariffs that include a threshold of NT$599 and flat rates, as it aims to switch half of its subscribers to the 5G network within three years. Subscribers would have unlimited data transmission for monthly fees starting at NT$1,399 — the same flat rate as when the company launched its 4G service in 2014 — and they can subscribe to the highest-rate plan for NT$2,699 per month for faster data transmission speeds and larger bandwidth, the company said. Data transmission speeds would be within the range
ROW: A probe would determine if the rights of shareholders who were not allowed to vote yesterday had been violated, while the stock exchange also wants answers The election of board directors yesterday at Tatung Co (大同) sparked controversy after the company blocked some institutional and individual shareholders from participating in the general shareholders’ meeting, prompting the Financial Supervisory Commission (FSC) to announce that the vote would be investigated. Lin Kuo Wen-yen (林郭文艷) was re-elected as chairwoman of the household-appliance maker’s nine-member board, but prior to the vote she announced that several shareholders would not have voting rights. They were being denied a vote because they had contravened the Business Mergers and Acquisitions Act (企業併購法), and the Act Governing Relations Between the People of the Taiwan Area and