Green Point Enterprises Co (綠點高新科技), which makes handsets, injection molds and plastic parts, yesterday said it had agreed to a takeover bid by Jabil Circuit Inc, a US electronics manufacturing service (EMS) provider.
Jabil, the world's No. 6 EMS firm which makes Nokia Oyj handsets, has agreed to offer NT$109 (US$3.32) for Green Point shares. The acquisition will see nearly NT$30 billion (US$0.91 billion) change hands, a Green Point official told a press briefing yesterday.
"The move will complement each side in terms of clientele and technology," said Green Point's general manager Chiang Huai-hai (
The acquisition offer of NT$109 per share is 3.81 percent more than Green Point's closing price of NT$105 on the Taiwan Stock Exchange yesterday.
Chiang said it was a perfect match for both firms as Taichung-based Green Point does not have an assembly capability and Jabil, based in St. Petersburg, Florida, lacks a component manufacturing segment.
The buyout is pending shareholders' approval early next year and is expected to be completed in the second quarter. Under the terms of the acquisition, Green Point will no longer be listed on the local stock exchange and will cease to operate as a distinct business entity.
Both firms started business interactions a year and a half ago, and Jabil agreed to buy Green Point to expand its market share and cut costs, Chiang said.
Green Point was also approached by two other leading EMS firms -- Hon Hai Precision Industry Co (
Foxconn International Holdings (富士康控股), a handset maker under Hon Hai group, has been gearing up to enhance its component and integration capabilities. The Green Point deal has placed more pressure on Hon Hai to upgrade its manufacturing processes, the paper said.
TECH RACE: The Chinese firm showed off its new Mate XT hours after the latest iPhone launch, but its price tag and limited supply could be drawbacks China’s Huawei Technologies Co (華為) yesterday unveiled the world’s first tri-foldable phone, as it seeks to expand its lead in the world’s biggest smartphone market and steal the spotlight from Apple Inc hours after it debuted a new iPhone. The Chinese tech giant showed off its new Mate XT, which users can fold three ways like an accordion screen door, during a launch ceremony in Shenzhen. The Mate XT comes in red and black and has a 10.2-inch display screen. At 3.6mm thick, it is the world’s slimmest foldable smartphone, Huawei said. The company’s Web site showed that it has garnered more than
CROSS-STRAIT TENSIONS: The US company could switch orders from TSMC to alternative suppliers, but that would lower chip quality, CEO Jensen Huang said Nvidia Corp CEO Jensen Huang (黃仁勳), whose products have become the hottest commodity in the technology world, on Wednesday said that the scramble for a limited amount of supply has frustrated some customers and raised tensions. “The demand on it is so great, and everyone wants to be first and everyone wants to be most,” he told the audience at a Goldman Sachs Group Inc technology conference in San Francisco. “We probably have more emotional customers today. Deservedly so. It’s tense. We’re trying to do the best we can.” Huang’s company is experiencing strong demand for its latest generation of chips, called
ISSUES: Gogoro has been struggling with ballooning losses and was recently embroiled in alleged subsidy fraud, using Chinese-made components instead of locally made parts Gogoro Inc (睿能創意), the nation’s biggest electric scooter maker, yesterday said that its chairman and CEO Horace Luke (陸學森) has resigned amid chronic losses and probes into the company’s alleged involvement in subsidy fraud. The board of directors nominated Reuntex Group (潤泰集團) general counsel Tamon Tseng (曾夢達) as the company’s new chairman, Gogoro said in a statement. Ruentex is Gogoro’s biggest stakeholder. Gogoro Taiwan general manager Henry Chiang (姜家煒) is to serve as acting CEO during the interim period, the statement said. Luke’s departure came as a bombshell yesterday. As a company founder, he has played a key role in pushing for the
Vanguard International Semiconductor Corp (世界先進) and Episil Technologies Inc (漢磊) yesterday announced plans to jointly build an 8-inch fab to produce silicon carbide (SiC) chips through an equity acquisition deal. SiC chips offer higher efficiency and lower energy loss than pure silicon chips, and they are able to operate at higher temperatures. They have become crucial to the development of electric vehicles, artificial intelligence data centers, green energy storage and industrial devices. Vanguard, a contract chipmaker focused on making power management chips and driver ICs for displays, is to acquire a 13 percent stake in Episil for NT$2.48 billion (US$77.1 million).
RSS