Fundraising surges 50.1%
Funds raised by local enterprises in capital markets at home and abroad reached NT$175.7 billion (US$5.86 billion) as of the end of last month, rising 50.1 percent from a month earlier, the Taiwan Stock Exchange (TWSE) said yesterday.
During the one-month period, local firms’ fundraising in global markets grew about NT$58.6 billion, including NT$12 billion through secondary public offerings, NT$12.6 billion from global depositary receipts and NT$28.4 billion from corporate bonds, the TWSE said.
With more companies planning initial and secondary public offerings, the TWSE said it expects the fundraising amount to continue rising over the next two to three months.
Sanyang soars after proxy war
Sanyang Industrial Co (三陽工業) shares yesterday rose by the 7 percent daily limit to close at NT$30.70, as sentiment turned upbeat after the company completed a fierce proxy vote war a day earlier and the TWSE said its shares can resume margin trading on Monday.
Sanyang is a leading motorcycle and car manufacturer. On Wednesday, Feng Chun Group (豐群集團) chairman Chang Hung-chia (張宏嘉) and his allies won five seats on the company’s nine-member board, while the remaining four went to Sanyang chairwoman Huang You-mei (黃悠美) and her allies. Market observers said this could mean Huang may lose control over the company.
Chang is the son of Chang Kuo-an (張國安), who cofounded Sanyang with Huang Ji-jun (黃繼俊), the grandfather of Huang You-mei, during the 1980s.
Lite-On dividend plan approved
Optoelectronic parts maker Lite-On Technology Corp (光寶科技) yesterday said shareholders approved the company’s plan to distribute a cash dividend of NT$2.71 per share and a stock dividend of 0.5 percent, based on last year’s earnings per share of NT$3.83.
That translates into a dividend payout ratio of 72 percent and a dividend yield of 5.5 percent. The stock closed at NT$49.45 in Taipei trading on Wednesday.
As part of the company’s corporate restructuring, Lite-On said the board also decided to appoint chief executive Warren Chen (陳廣中) as vice chairman and CEO of Lite-On Group (光寶集團), which will take effect on July 1, a company statement said.
Sequoia invests in Appier
Cross-screen marketing solutions provider Appier Inc (沛星) said on Wednesday it had raised US$6 million from Sequoia Capital, a US-based venture capital firm, and it would use the funds for research and development, capacity expansion and sales and marketing support.
Appier CEO Yu Chih-han (游直翰) said Sequoia’s investment is a vote of confidence in the company’s team and technology.
The venture capital firm has an unparalleled track record of partnering with entrepreneurs to create global market leaders. It was an early investor in some of the world’s most famous tech companies, including Apple Inc, Google Inc and YouTube.
Moody’s raises Cathay ratings
Moody’s Investors Service has changed its outlook on Cathay Life Insurance Co (國泰人壽) to “positive” from “stable” on the back of the insurer’s improving financial strength.
The agency has also revised its outlook on the insurer’s parent, Cathay Financial Holding Co (國泰金控), to “positive” from “stable,” citing the life insurer’s better financial strength.
The ratings agency has affirmed a “Baa2” insurance financial strength rating on Cathay Life, and a “Baa3” insurer rating on Cathay Financial.
TECH PARTNERSHIP: The deal with Arizona-based Amkor would provide TSMC with advanced packing and test capacities, a requirement to serve US customers Taiwan Semiconductor Manufacturing Co (TSMC, 台積電) is collaborating with Amkor Technology Inc to provide local advanced packaging and test capacities in Arizona to address customer requirements for geographical flexibility in chip manufacturing. As part of the agreement, TSMC, the world’s biggest contract chipmaker, would contract turnkey advanced packaging and test services from Amkor at their planned facility in Peoria, Arizona, a joint statement released yesterday said. TSMC would leverage these services to support its customers, particularly those using TSMC’s advanced wafer fabrication facilities in Phoenix, Arizona, it said. The companies would jointly define the specific packaging technologies, such as TSMC’s Integrated
China’s economic planning agency yesterday outlined details of measures aimed at boosting the economy, but refrained from major spending initiatives. The piecemeal nature of the plans announced yesterday appeared to disappoint investors who were hoping for bolder moves, and the Shanghai Composite Index gave up a 10 percent initial gain as markets reopened after a weeklong holiday to end 4.59 percent higher, while Hong Kong’s Hang Seng Index dived 9.41 percent. Chinese National Development and Reform Commission Chairman Zheng Shanjie (鄭珊潔) said the government would frontload 100 billion yuan (US$14.2 billion) in spending from the government’s budget for next year in addition
Sales RecORD: Hon Hai’s consolidated sales rose by about 20 percent last quarter, while Largan, another Apple supplier, saw quarterly sales increase by 17 percent IPhone assembler Hon Hai Precision Industry Co (鴻海精密) on Saturday reported its highest-ever quarterly sales for the third quarter on the back of solid global demand for artificial intelligence (AI) servers. Hon Hai, also known as Foxconn Technology Group (富士康科技集團) globally, said it posted NT$1.85 trillion (US$57.93 billion) in consolidated sales in the July-to-September quarter, up 19.46 percent from the previous quarter and up 20.15 percent from a year earlier. The figure beat the previous third-quarter high of NT$1.74 trillion recorded in 2022, company data showed. Due to rising demand for AI, Hon Hai said its cloud and networking division enjoyed strong sales
Protectionism: US trade chief Katherine Tai said the hikes would help to counter unfair trade practices from China, while boosting domestic clean energy investments US Trade Representative Katherine Tai (戴琪) defended stiff tariff hikes against countries such as China, saying that paired with investment, they were a “legitimate and constructive” tool for reinvigorating domestic industries. Tai’s comments come a week after sharp tariff increases on Chinese electric vehicles (EVs), EV batteries and solar cells took effect — with levies down the line on other products also recently finalized. The latest moves targeting US$18 billion in Chinese goods come weeks before next month’s US presidential election, with Democrats and Republicans pushing a hard line on China as competition between Washington and Beijing intensifies. In an interview on Thursday
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