Wed, Jun 07, 2017 - Page 11 News List

Taiwan Business Quick Take

Staff writer, with agencies

INSURANCE

Taiwan Life fined NT$6m

The Financial Supervisory Commission yesterday fined Taiwan Life Insurance Co (台灣人壽保險) NT$6 million (US$199,382) for irregularities related to a real-estate transaction that was made as the insurer was acquired by CTBC Financial Holding Co (中信金控) in 2015. CTBC Financial was found to have overpaid for commercial property that was owned by Gobo Group (國寶集團), a major shareholder in the insurer. The property was put to auction in 2014 with a starting bid of NT$1.4 billion and did not find a buyer. It was later sold to CTBC Financial for NT$1.57 billion.

PHARMACEUTICALS

ASLAN defends IPO

ASLAN Pharmaceuticals (亞獅康), a biotech firm focused on the development of immunotherapies and targeted agents for Asia-prevalent tumor types, yesterday responded to allegations that the interests of retail investors who had participated in its initial public offering (IPO) on the Taipei Exchange had been harmed as its share price dropped from its NT$58 debut to NT$52.2. The company said that all of its investors have agreed to lockup periods of one to two years for board members and management, and six months for other investors of varying stakes. They did not sell ASLAN shares during its volatile market debut on Thursday last week, and it is not seeking to capital gains as critics claim, the company said.

TECHNOLOGY

HTC sales hit 14-month low

HTC Corp (宏達電) yesterday reported that its sales last month had dipped 4 percent sequentially and 33 percent annually to NT$4.53 billion, reaching the lowest in the past 14 months. Sales during the first five months of this year fell 13 percent annually to NT$23.78 billion. The company attributed its sales performance to an ongoing product cycle adjustment, as it had launched its latest HTC U11 flagship handset last month. The company would also cut its number of new handset models this year from six to five in a bid to remain in the black.

CHIPMAKERS

MediaTek reports growth

MediaTek Inc (聯發科), the nation’s biggest handset chip designer, yesterday reported NT$18.44 billion in revenue for last month, representing 3.89 percent growth from April’s NT$17.75 billion. The sequential growth was supported by recovering demand from Chinese handset makers. On an annual basis, revenue plunged 25.16 percent from NT$24.64 billion made in May last year. The company forecast in April that revenue would be flat or grow 8 percent quarter-over-quarter to between NT$56.1 billion and NT$60.6 billion. Shipments of chips used in smartphones and tablets are to increase by less than 5 percent quarterly to between 110 million and 120 million units this quarter, MediaTek said.

CHIPMAKERS

Nanya reduction hits revenue

DRAM chipmaker Nanya Technology Corp (南亞科技) yesterday said revenue fell 4.68 percent last month to NT$4.12 billion from NT$4.32 billion in April due to a 4 percent reduction in shipments. The Taoyuan-based chipmaker attributed the shipment decline to its ongoing technological migration to 20 nanometer (nm) technology from 30nm technology. Compared with the same period last year, revenue soared 42.06 percent from NT$2.9 billion. As chip prices are stabilizing, Nanya Technology expects revenue to return to growth this month on a monthly basis. The company expects shipments to grow about 1 percent this quarter from last quarter.

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