Shareholders of Advanced Semiconductor Engineering Inc (ASE, 日月光半導體) and Siliconware Precision Industries Co Ltd (SPIL, 矽品精密), the nation’s two biggest integrated circuit packaging and testing services providers, have approved a merger deal between the two companies.
The companies yesterday held extraordinary meetings for shareholders to vote on the merger proposal, according to which the two firms would establish a holding company and join under a corporate umbrella.
The two firms in May 2016 announced that the holding company would fully own ASE and SPIL, and that the two would remain independent from each other.
Under the deal, ASE is to trade one common share in exchange for half a share in the new company, while SPIL shareholders are to receive NT$51.2 per ASE share.
The new holding company is to be called ASE Industrial Holding Co (日月光投資控股).
Speaking to the press after his company’s shareholders’ meeting, SPIL chairman Bough Lin (林文伯) said that the decision by ASE to buy into SPIL’s share price shows that the suitor is impressed by SPIL’s growth into the nation’s second-largest IC packaging and testing firm over the past three decades.
ASE chairman Jason Chang (張虔生) has lofty ambitions and would allow SPIL employees more opportunity to develop, Lin said.
After the merger, ASE and SPIL are to retain their management teams and employees, but would grow together.
The shareholders’ meetings were scheduled after the deal in November last year secured regulatory approval from the Chinese Ministry of Commerce, clearing the way for the merger.
The deal was greenlit by the Fair Trade Commission in November 2016 and in May last year by the US Federal Trade Commission.
Meanwhile, the SPIL board has tentatively agreed to delist the company’s shares from the Taiwan Stock Exchange and the NASDAQ Composite on April 17.
The new holding company is expected to list its shares on April 30.
ASE shares yesterday rose 1.58 percent to NT$38.50 and SPIL shares gained 0.20 percent to NT$50.30 on the local main board.
To many, Tatu City on the outskirts of Nairobi looks like a success. The first city entirely built by a private company to be operational in east Africa, with about 25,000 people living and working there, it accounts for about two-thirds of all foreign investment in Kenya. Its low-tax status has attracted more than 100 businesses including Heineken, coffee brand Dormans, and the biggest call-center and cold-chain transport firms in the region. However, to some local politicians, Tatu City has looked more like a target for extortion. A parade of governors have demanded land worth millions of dollars in exchange
Hong Kong authorities ramped up sales of the local dollar as the greenback’s slide threatened the foreign-exchange peg. The Hong Kong Monetary Authority (HKMA) sold a record HK$60.5 billion (US$7.8 billion) of the city’s currency, according to an alert sent on its Bloomberg page yesterday in Asia, after it tested the upper end of its trading band. That added to the HK$56.1 billion of sales versus the greenback since Friday. The rapid intervention signals efforts from the city’s authorities to limit the local currency’s moves within its HK$7.75 to HK$7.85 per US dollar trading band. Heavy sales of the local dollar by
Taiwan Semiconductor Manufacturing Co’s (TSMC, 台積電) revenue jumped 48 percent last month, underscoring how electronics firms scrambled to acquire essential components before global tariffs took effect. The main chipmaker for Apple Inc and Nvidia Corp reported monthly sales of NT$349.6 billion (US$11.6 billion). That compares with the average analysts’ estimate for a 38 percent rise in second-quarter revenue. US President Donald Trump’s trade war is prompting economists to retool GDP forecasts worldwide, casting doubt over the outlook for everything from iPhone demand to computing and datacenter construction. However, TSMC — a barometer for global tech spending given its central role in the
An Indonesian animated movie is smashing regional box office records and could be set for wider success as it prepares to open beyond the Southeast Asian archipelago’s silver screens. Jumbo — a film based on the adventures of main character, Don, a large orphaned Indonesian boy facing bullying at school — last month became the highest-grossing Southeast Asian animated film, raking in more than US$8 million. Released at the end of March to coincide with the Eid holidays after the Islamic fasting month of Ramadan, the movie has hit 8 million ticket sales, the third-highest in Indonesian cinema history, Film
RSS