ProMOS Technologies Inc (茂德科技), the nation's third-biggest maker of computer memory chips, signed a NT$20.7 billion (US$630 million) syndicated loan yesterday to finance the expansion of a 12-inch fab.
The company said it would use the money primarily to fund the expansion of its third 12-inch factory, located in Taichung, according to the company's filing with the Taiwan Stock Exchange.
"The capital injection will help ProMOS speed up production using cost-saving 70-nanometer technology and thereby fuel the company's growth," ProMOS spokesman Ben Tseng (曾邦助) said in the filing.
The new plant is expected to start mass production in October, one-and-a-half months earlier than scheduled, Tseng said.
The plant is expected to produce 15,000 12-inch wafers a month.
Shares of ProMOS closed unchanged at NT$13.3 on the GRETAI Securities Market yesterday, compared with a 0.67 percent increase on the over-the-counter index.
The five-year syndicated loan was offered by a group of 13 banks, including the Bank of Taiwan (台灣銀行), Taiwan Business Bank (台灣中小企銀), Land Bank of Taiwan (台灣土地銀行) and Taiwan Cooperative Bank (合作金庫銀行).
On the sidelines of the signing ceremony, Taiwan Cooperative president Chen An-hsiung (陳安雄) told the Dow Jones Newswire that ProMOS reported a second-quarter loss of NT$2 billion to NT$3 billion.
The Hsinchu-based company, however, denied the report when contacted by the Taipei Times.
"Those are not our figures," a ProMOS official said yesterday on condition of anonymity because she was not authorized to speak to the media.
The company is scheduled to release its second-quarter financial report early next month.
The company posted a profit of NT$4.33 billion, or NT$0.66 earnings per share, in the first quarter.
In April, it raised its spending on new facilities and equipment to around NT$1.88 billion for this year, from a previous estimate of NT$1.2 billion.
Credit Suisse on Tuesday upgraded ProMOS and bigger rival Powerchip Semiconductor Corp (
The brokerage house also warned that computer memory chipmakers would post weak profits for the second and third quarters but show improvement in the fourth quarter.
INEXPENSIVE POWER: Group chairman Gautam Adani said 70% of the investment would go into energy transition, with a focus on green hydrogen India’s Adani Group is to invest more than US$100 billion over the next decade, most of it in the energy transition business, chairman Gautam Adani said yesterday, as the ports-to-energy conglomerate accelerates an already aggressive expansion plan. After founding the group in 1988 as a commodities trading business, the 60-year-old has ventured into multiple sectors, mainly in the infrastructure space and in line with the priorities of the government of Indian Prime Minister Narendra Modi. “As a group, we will invest over US$100 billion of capital in the next decade,” Adani, the world’s second-richest person, told the Forbes Global CEO Conference in
PRICE POINT: While overall demand has lagged expectations, higher-priced iPhone 14 Pro models appear to attract more attention than entry-level versions, sources said Apple Inc is backing off plans to increase production of its new iPhones this year after an anticipated surge in demand failed to materialize, people familiar with the matter said. The Cupertino, California-based company has told suppliers to pull back from efforts to increase assembly of the iPhone 14 product family by as many as 6 million units in the second half of this year, said the people, asking not to be named as the plans are not public. Instead, the company would aim to produce 90 million handsets for the period, about the same level as in the second half
Foxconn Technology Group (富士康科技集團) is to invest US$1.75 million in a joint venture with PT Indika Energy Tbk to explore commercial electric vehicle (EV) and electric battery business opportunities in Indonesia, the Taipei-based company said yesterday. With the investment, Foxconn would hold a 40 percent stake in the joint venture, PT Foxconn Indika Motor, while PT Indika would own 60 percent. The collaboration is an extension of a memorandum of understanding signed in January by Indika Energy, Foxconn, Gogoro Inc (睿能創意) and others aiming to build an electric vehicle supply chain in Southeast Asia’s biggest economy. Gogoro, in which Foxconn owns a 0.76
COLD BENDING: Innolux plans to boost contribution from vehicle displays to 50 percent of overall revenue from 12 percent in the second quarter of this year Innolux Corp (群創) is deepening its partnership with the US-based Corning Inc in the production of cockpit displays through a subsidiary, as it pushes ahead with transformation efforts to fuel growth. Singapore-based CarUX Technology Pte Ltd (群豐駿科技), a vehicle display maker fully owned by Innolux, would incorporate Corning’s cold-bending technology into its large curved vehicle displays, Innolux said in a statement yesterday. CarUX and Corning are expanding their collaboration from automotive glass substrates to glass substrate protection solutions, as they seek to build supply chain ecosystems to generate greater industrial synergies, CarUX said in the statement. With Corning’s ColdForm technology, a glass cover