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Taiwan Youda injects 2 billion Taiwanese dollars into BenQ (Jiashida)

2019-09-10 14:39:00   Second
On April 1, in Hsinchu, Taiwan, yesterday, AUO Corporation, the world's leading LCD panel design, R&D and manufacturing company, announced that the interim board of directors of AUO Corporation had strengthened the long-term cooperation between the two sides by participating in the private placement of ordinary shares of BenQ (Costa) within the amount of NT $2 billion. Youda would purchase 90456800 shares at NT $22.11 per share in the future, and the conversion shareholding ratio would increase from 5.12% to 9.58%.
 
AUO Corporation said: "Due to the changes in the supply chain of the panel industry in recent years, the proportion of consumer electronic goods has gradually increased, and the products are more customized. On the premise that the end customers also hope that the products can develop towards differentiation, the closer cooperation between panel factories, System integration foundries and brand customers will also become a trend.
 
Based on serving customers and gaining market opportunities, coupled with the long-standing upstream and downstream strategic cooperation between Youda and Jiashida, the board of directors has decided to reinvest in the private equity common stock case of Jiashida. This move is not only in line with the long-term interests of Youda, but also can assist important customers in expanding their business scale, strengthen their competitive advantages through closer cooperative relationships, improve business efficiency, and create greater value for both shareholders
 
It is reported that BenQ (Jiashida) recently announced a private equity plan with a limit of up to NT $5 billion ($164.35 million), in order to invest in the company's operations and improve its financial situation. Apart from the injection of funds from Youda, there is still a gap of NT $3 billion. Previously, some media said that AUO Corporation had invested NT $5 billion in private placement, but AUO Corporation denied this