TaiMed inks distribution deal
TaiMed Biologics Inc (中裕新藥) yesterday said that it has expanded a distribution contract for its new HIV/AIDS drug, TMB-355, with a Canadian partner to include Europe as well as North America. TaiMed first signed a contract in March last year to have Canadian company Theratechnologies Inc serve as its exclusive distribution partner in Canada and the US, and the contract was expanded yesterday to cover a number of European markets as well as Israel. Under the revised contract, TaiMed receives royalties of 57 percent on sales of TMB-355 in Europe, up from the 52 percent the two companies agreed in March last year.
Taishin denies mulling bid
Taishin Financial Holding Co (台新金控) yesterday denied a media report that the company is mulling its brokerage unit acquiring Ta Chong Securities Co Ltd (大眾證券) at NT$11 per share in a NT$4.2 billion (US$136 million) cash deal. The acquisition is part of the bank-focused conglomerate’s bid to diversify its earnings drivers, sources close to the matter said in a report published by the Chinese-language Economic Daily News. Should the deal go through, Taishin Securities Co’s (台新證券) ranking among its local peers would rise from No. 32 to No. 24, industry observers said. The acquisition would represent a 11.4 percent premium after Ta Chong Securities shares closed at NT$9.87 on Friday last week. Ta Chong Securities shares yesterday gained 2.84 percent to close at NT$10.15 in Taipei trading.
Largan sales decline 8%
Largan Precision Co (大立光), the nation’s leading smartphone camera lens supplier, posted sales of NT$3.45 billion last month, an 8 percent month-on-month decline, according to a statement posted on the company’s Web site on Sunday. However, the figure was still 70 percent higher than the same period last year, the company said. Last month, 10 megapixel and above lenses accounted for between 70 and 80 percent of the company’s total shipments, 8 megapixel lenses contributed between 10 and 20 percent, while lenses with resolutions of fewer than 5 megapixels contributed 10 percent, according to a shipment breakdown. Total sales for the first two months of the year grew 38 percent from the same period last year to NT$7.22 billion, the company said.
Macronix to cut its capital
Memorychip manufacturer Macronix International Co (旺宏電子) yesterday said its board has approved a proposal to halve its capital in order to improve the company’s financial structure. After the reduction, the company would have 1.81 billion common shares, according to a company filing with the Taiwan Stock Exchange. The share reduction plan is subject to a vote at the firm’s annual shareholders’ meeting on May 26. Macronix still has NT$18.65 billion in accumulated losses, despite two consecutive profitable quarters at the end of last year.
Advantech approves payout
Advantech Co (研華), the world’s largest industrial computer maker, yesterday said its board has approved a NT$6.3 cash dividend. That represents a payout ratio of 70.31 percent compared with its earnings of NT$8.96 per share last year. In total, the company made a net profit of NT$5.69 billion last year. The company yesterday posted revenue of NT$2.96 billion for last month, a 9.38 percent year-on-year increase from NT$2.7 billion.
RESTRUCTURING: Taichung and Taoyuan profited most from local firms moving back high-end manufacturing amid the US-China decoupling of trade ties, the ministry said The government’s “Invest in Taiwan” initiative might this year see NT$627.1 billion (US$21.7 billion) of investment pledges realized, with several firms raising stakes and two dropouts due to customer losses, Minister of Economic Affairs (MOEA) Wang Mei-hua (王美花) said yesterday. Wang made the statement at the monthly meeting of the Third Wednesday Club, a local trade group featuring the top 100 firms of each business sector. Since early last year, the government has launched three programs intended to help local companies grapple with US-China trade rows and the COVID-19 pandemic, mainly through moving production lines back to Taiwan. Thus far, the ministry
JOBS AT RISK? Most Cathay Dragon routes are to be operated by Cathay Pacific or a subsidiary, but it was unclear how Taiwanese workers would be affected Cathay Pacific Airways Ltd (國泰航空) yesterday said it is planning new flight services for Taiwan as it announced a corporate restructuring that included the shutdown of its regional subsidiary, Cathay Dragon (國泰港龍), and could lead to job cuts in Taiwan. Cathay Pacific said the shutdown means that the one round-trip service between Taichung and Hong Kong per day and seven round-trip services between Kaohsiung and Hong Kong operated by Cathay Dragon prior to the COVID-19 pandemic would be terminated. “The parent company is planning a new schedule between Taiwan and Hong Kong,” Cathay Pacific assistant manager for corporate communications Moses Hou (侯恩錫)
OVERHEATED MARKET?: The gauge would be designed to provide more reliable information than private-sector data, and help improve policymaking, the council said The National Development Council (NDC) is considering creating a business climate index on Taiwan’s property market, allowing policymakers to better monitor market movements and intervene if necessary, NDC Minister Kung Ming-hsin (龔明鑫) said yesterday. Kung made the remarks at a meeting of the legislature’s Economic Committee where lawmakers from across party lines voiced concerns about housing price hikes driven by capital repatriation. Kung said that the council is assessing the possibility of creating an index designed to provide more accountable and transparent information than data provided by private-sector market analysts, and could help improve policymaking. The council would compile a report on
STOCK MARKETS TAIEX closes slightly higher The TAIEX closed slightly higher yesterday as market sentiment remained cautious over the Nov. 3 US presidential election. Contract chipmaker Taiwan Semiconductor Manufacturing Co (TSMC, 台積電) was again the anchor stabilizing the broader market, preventing the main board from falling into negative territory at the end of the session, dealers said. The TAIEX closed up 14.88 points, or 0.12 percent, at 12,877.25, on turnover of NT$167.982 billion (US$5.81 billion). TSMC, the most heavily weighted stock on the local market, rose 0.44 percent after fluctuating between NT$451 and NT$456. The semiconductor subindex and the bellwether electronics sector