Hynix intends to raise capital of $1 billion to boost NAND flash

Days before the world's second largest memory chip maker (Hynix) said, is considering the issuance of new shares through cash capital increase, capital expenditure required for $1 billion. Hynix Strategy Planning Senior Vice President O.C. Kwon pointed out that if there are good opportunities of rapid growth, Hynix will enter the capital market to raise funds. But it still needs to discuss the possibility of the project with creditor banks.

As a result of the sudden emergence of consumer electronics products, Samsung Electronics, Hynix and other memory factories have invested to increase production of NAND flash memory, which Hynix plans to increase capital expenditures in 2006 3 trillion and 600 billion won.

A spokesman for Kwon, who was confirmed by the news agency, said that the issue of new shares was only one of the many ways to raise funds, but there was no specific financing plan. Hynix has raised the necessary funds for investment in 2006, plans to invest 1 trillion and 300 billion won in the mainland Wuxi plant has also been raised, does not require additional funding.

2000, the semiconductor industry downturn spread to the verge of bankruptcy, Korea, Exchange and other consortium invested 4 trillion and 900 billion won to buy more than $50% stake in Hynix, a creditor's Bank of. In October 2005, 1/3, a creditor bank, sold 50.4% of its shares.