Canyuan photoelectric to raise funds to expand the LED chip production capacity

According to the Taiwan LED chip maker canyuan photoelectric (Formosa Epitaxy) said the company plans to issue 150 million new shares to raise additional funds, about NT $6 billion 400 million (US $162 million 600 thousand), to expand its chip production capacity. Funds can be raised through public offering or private placement in Taiwan, or through the issuance of global Depositary Receipts (GDR) and convertible bonds.

According to canyuan photoelectric latest news, by the end of 2010, the company plans to expand its chip production capacity in Taiwan and the mainland market China, MOCVD devices will increase to 81 units from 43 units. In this new 38 Taichung, the 13 will be used in the Taiwan market, the 25 will be used in the mainland market. During 2011, the company will also add another 40 MOCVD devices.

Sources pointed out that the second quarter of 2010, LED began its canyuan photoelectric lighting equipment shipments in Japan and the initial monthly shipments for thousands of pieces, but its shipments in 2010 is expected to increase by half. The source also said, canyuan photoelectric shipments of products including 3W and 7W LED bulb and lamp strip.

Sources pointed out that the South Korean LED lighting market, canyuan photoelectricity is providing high brightness LED chip to the chip package and module factory production partners. By the fourth quarter of 2011, the company also plans to enter the U.S. and European markets.