HTC shares get boost
Shares of Taiwan-based smartphone brand HTC Corp (宏達電) were boosted yesterday by renewed hopes for its virtual-reality (VR) business after the company threw an event in Shanghai to demonstrate its efforts to cultivate VR start-ups, dealers said. HTC shares, which have lagged behind other high-tech stocks, as well as the broader market, were also pushed higher by bargain hunters, they said. HTC shares rose 4.6 percent to close at NT$72.8 with 30.06 million shares changing hands on the Taiwan Stock Exchange, where the weighted index closed down 0.02 percent at 10,512.06. “After the weighted index hit a new 27-year high to breach the 10,500-point mark yesterday, the market fell into consolidation mode today,” Hua Nan Securities Co (華南永昌證券) analyst Kevin Su (蘇俊宏) said yesterday. “So, some investors scrambled to park their funds in individual stocks that had positive leads, like HTC.”
IGS-Aristocrat deal ended
International Games System Co (IGS, 鈊象電子), the nation’s largest arcade machines and online game developer, yesterday said that it and Aristocrat Leisure Ltd, at Aristocrat’s request, have terminated an agreement to codevelop slot machines, due to fast-changing industry dynamics that prompted the Australian company to alter its strategy. Aristocrat’s authorized games are to be removed from a gaming platform on the IGS Web site at the end of next month, IGS said in a filing with the Taiwan Stock Exchange. IGS is to rename the gaming platform and supply IGS-developed games on the platform to maintain its service, the Taiwanese company said. The terminated collaboration with Aristocrat is expected to reduce IGS’ revenue by NT$28 million (US922,844), or operating income of NT$7 million, on a monthly basis in the second half of this year, IGS said.
Taishin merger approved
The Financial Supervisory Commission yesterday approved the merger of Taishin Securities Co (台新證券) and Ta Chong Securities Co Ltd (大眾證券). Taishin Securities, the acquiring company, is to absorb Ta Chong Securities, which will cease to exist after the deal is completed. The deal would help Taishin Securities raise its market share from 0.59 percent to 1.29 percent, while its number of service locations would rise from 14 to 17, the commission said.
Hiwin laments work policy
Hiwin Technologies Co (上銀科技) chairman Eric Chuo (卓永財) yesterday criticized the government’s “one fixed day off, one flexible day off” policy, saying that it significantly increases enterprises’ operational costs. Citing the regulations, Chuo said that the machinery maker has to pay employees three times their daily salary if they are to work on Sundays and offer them days off for working on the fixed day off. “There’s no such policy elsewhere in the world. This [policy] is not feasible,” Chuo told reporters after the company’s annual general meeting in Taichung.
Hai Di Lao move approved
The Investment Commission yesterday approved Hai Di Lao Holdings Pte Ltd (海底撈), a popular Chinese hotpot restaurant chain operator, to invest NT$115 million in expanding its operational scope in Taiwan. The commission said Hai Di Lao plans to utilize the fund to add a new restaurant in Hsinchu, which would be the firm’s third in the nation.
NOTABLE SHIFT: By 2030, 50% of all laptops would be assembled in Southeast Asia, while Taiwan would still mostly focus on research and development, a report said Global laptop and desktop computer supply chains are expected to shift significantly away from China in the next 10 years, a Market Intelligence & Consulting Institute (MIC, 產業情報研究所) report said. By 2030, only 40 percent of global laptop production would remain in China, said the report, which was released on Thursday. “The reshuffling of the global supply chain will be one of the most important trends in the next 10 years,” the institute said in the report. “In the long run, key component makers will follow laptop assemblers in moving out of China.” The Taipei-based institute predicted most key component makers
Merck Group Taiwan yesterday said that it plans to invest substantially on expanding its fab in Kaohsiung’s Lujhu District (路竹) to better serve its local customers, including Taiwan Semiconductor Manufacturing Co (TSMC, 台積電). The company said it plans to expand its production space by 50 percent in the next five years and its workforce by about 40 percent, Merck Group Taiwan managing director Dick Hsieh (謝志宏) told a media briefing in Taipei. Hsieh declined to disclose investment details, but said that the latest investment would exceed the total amount Merck has invested in Taiwan over the past few years. Those investments would be
INVEST IN TAIWAN: A metal components casting firm and the world’s largest maker of aluminum bicycle rims also obtained approvals to join the program Solar Applied Materials Technology Co (SOLAR, 光洋應用材料), a part of Taiwan Semiconductor Manufacturing Co’s (TSMC, 台積電) “green supply chain,” has pledged to invest NT$1 billion (US$34.1 million) to build a new plant at the Tainan Technology Industrial Park (台南科技工業區), the Ministry of Economic Affairs said yesterday. SOLAR has been collaborating with TSMC to extract precious metals from waste and reuse them as “sputtering target” material in high-end semiconductor manufacturing, a TSMC press release issued in May said. Established in 1978, SOLAR also offers key materials and integrated services to customers in the optoelectronics, information and communications technology, petrochemicals and consumer electronics industries,
Yageo Corp (國巨), the world’s third-largest supplier of multilayer ceramic capacitors, has formed a strategic alliance with Hon Hai Precision Industry Co (鴻海精密) to develop key electronic components for electric vehicles and digital healthcare, it said yesterday. The alliance is to help Yageo boost its revenue from high-end components for vehicles and industrial, medical and aerospace devices, as well as those used in 5G and Internet-of-Things devices, the company said. The companies signed the strategic alliance agreement at Yageo’s headquarters in New Taipei City’s Sindian District (新店). Their cooperation is to start this quarter, the companies said in a joint statement. “Through the cooperation