LED epitaxial factory efforts to seek partners to increase capital, affecting the new situation of LED upstream

It is understood that the wide gallium, canyuan, Thai Valley three epitaxial plant resolution for convertible bonds and private placement. In addition to preparing to expand production capacity, but also hope that the smooth introduction of strategic alliance partners, and expand the lineup of shareholders. Recently, Foxconn, CMO, AUO, UMC, Li Jing, Delta Electronics and other large groups are actively layout of the LED industry, the downstream packaging factory and to consolidate the material source of the upstream investment interest is high, the upstream of the LED epitaxial plant has become a new battlefield for the technology giant, and therefore a financing action will lead to market attention vision. It is reported that the upstream of the LED epitaxial plant following Guangjia photoelectric to apply for 1 billion 600 million yuan of Switching Company debt, canyuan photoelectric plans for 50 million shares of private placement, Taigu photoelectric board also apply for 600 million yuan private placement. In terms of LED supply chain, it can be divided into upstream and downstream packaging applications. Because of barriers to entry upstream epitaxial compared to downstream packaging, to some extent, epitaxial plant has more chips, but there is not a small difference of various products and main technical level, but also directly reflected in the company's "value". Since 2007, billion light focus is in the future high order chip will be out of stock, so actively looking for strategic alliance partners, and have chosen Guangjia Taigu, but later due to rising prices and breaking by investors. Since the end of 2007, the stock market after the U.S. subprime mortgage crisis hit, the upstream chip factory price returned to the buyers move price, the market expected by private financing, action will set off a new wave of post war.

Source: LEDinside