China intends to merge with the broad island against the first line LED Taiwan factory

China and the wide gallium merger negotiations have been held for several months, due to the Chinese good red four yuan LED, the current high brightness of LED yuan monthly production capacity of more than even, up to 100 million. However, the progress of China's blue LED behind the industry, relative to the widely known as the Blu ray LED, the highest brightness to achieve 1500mcd~1600mcd, Blu ray quality is better than china.

Guangjia is 1 billion 600 million yuan for Switching Company debt, caused by a number of LED related companies concerned, a LED package that Dachang said privately that the huga blue LED is also good, if the investment of convertible bonds is "huga can think".

With China and Jia, in addition to complementary products, China to Japan and South Korea, the majority of customers, many Guangjia in mainland China White brand mobile phone, customers are highly complementary, can exert synergy. In addition, the current Chinese blue LED monthly production capacity of 300 million, the end of the year is planning to reach a total of more than 600 million gallium, the total will reach up to 900 million. If the wide GA to help adjust the blue light on the production capacity, the fastest three months time, the quality of the blue light and can be widely used in the galaxy, the production capacity of the month of 900 million will play a plus or a greater than the effect of two.

Xinguang Investment Research Manager Chen Xinda pointed out that the completion of the blue LED deployment, together with the existing production capacity of four yuan, 1 billion 300 million, China will get rid of gallium on the broad product line is not homogeneous second tier LED factory role, become four yuan, blue LED both size and quality are in hot pursuit of LED epitaxial crystal electric dachang.

Due to the ISO system, the industry can not only have a supplier, if China and the United States and the United States to become the second largest gallium LED epitaxial crystal factory in Taiwan, the opportunity to become the supplier of the order of the development of very helpful. Guangjia and hang now emerging, is expected to become a listed company by the merger of homeopathy.

Although the merger on the case is not confirmed on the Chinese, however, the industry believes that the merger will be one of the survival of the second line LED epitaxial face of the factory. The main reason is the rich dad have been put into LED epitaxial plant, including the CMO, PSC investment investment Qili crystalmedia, TSMC through a transparent white America LED factory BridgELux, AUO last week also announced the establishment of lextar electronics, only heard the "potential" LED epitaxial plant and a number of industry investors such as Hon hai.

The industry pointed out that the rich dad net worth of rich, frequently put tens of billions of dollars of investment funds is not the second parade, LED factory can contract and, will be a great threat to the second factory. The industry believes that the silver rich dad played offensive in the short term will not pose a threat to the industry, but two to three years may still become LED epitaxial plant with puma, is really worth considering the options of second tier factory.

Source: Taiwan Business Times