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n’
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Optoelectronics announced that its wholly-owned subsidiary Xiamen San’
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Optoelectronics has intended to buy no more than 120mn common shares of Taiwan’
s
listed company Forepi via a private placement with NTD 2.352bn (equivalent to RMB 506mn) at the most. After the transaction, Xiamen San’
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will become Forepi’
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largest shareholder with 19.9% of shares.
The cooperation between San’
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Optoelectronics, an LED leader in mainland China, and Forepi, the earliest listed LED enterprise in Taiwan, can be described as an alliance between giants. According to San’
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Optoelectronics, the two parties will make an all-round cooperation in purchase, production and sales to lay a solid foundation for the establishing of a world-class LED enterprise.
About Forepi
Forepi ranks the second in terms of comprehensive strength in Taiwan. With rich R&
D
and technical experience, the company has secured a total of about 190 core patent technologies, 50% of which are invention patents. Forepi is competitive in blue, green and ultraviolet epitaxial wafers and chips and is the supplier of many reputable manufacturers worldwide. The company is influential in international market and has good marketing skills as well.
By 2012H1, Forepi’
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total assets have totaled RMB 4.024bn and its net assets RMB 2.787bn. The revenue of its core business was about RMB 500mn in 2012H1, with a loss of RMB 46.24mn.
About San’
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Optoelectronics
San’
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Optoelectronicsranks No.1 in terms of production capacity of LED epitaxial wafers and chips. With a set of complete industry chain, it has a production line ranging from the upstream chip to the downstream applications. It also has advantageous vertical integration and rich market resources. At present, San’
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holds nearly 200 patents with its products among the best ones in the world.
Forepi’
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target market includes South Korea, Taiwan and other regions, while the sales in mainland China accounts for less than 10% of the total. The cooperation between the two companies will cement their upsides on both the product and the market and further strengthen their competitiveness in the global LED industry.
