Taiwan's government raised US$321 million from the sale of 20 million US-traded Taiwan Semiconductor Manufacturing Co (TSMC, 台積電) shares to Goldman Sachs Group Inc, a Goldman official said.
The news confirms a Taipei Times report last week that surveyed four securities analysts who agreed that government-run stock funds plan to sell off Taiwan bluechip company shares in the US to replenish coffers.
Shares in the world's biggest made-to-order chipmaker were sold to Goldman at US$16.05 per share yesterday, a 0.7 percent discount to the closing price of TSMC's US-traded shares Monday.
The share sale was earlier reported on the FinanceAsia.com Web site.
Proceeds from the TSMC share sale will help fund government spending, crimped by a budget deficit of NT$195 billion (US$5.7 billion), close to the limit of 15 percent of total expenditure.
Taiwan's government has about a 12 percent stake in TSMC.
Goldman will sell the shares to investors and may keep some for investment purposes.
TSMC's US-traded shares fell 5.9 percent to US$15.22 yesterday. The company's Taiwan-traded shares rose 1.3 percent to NT$75.50.
TSMC's US shares have traded at a premium of as high as 75 percent to the Taiwan shares this year. US-based investors, who lack a license to buy the Taiwan-traded shares, purchase the US shares, which are the equivalent of five Taiwan shares.
Merrill Lynch & Co managed the Development Fund's (
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