Private strategy swept Taiwan LED ethnic groups?

2009 Taiwan many LED manufacturers through private equity industry alliance and cooperation, private equity issuers can discuss the optimal price, investors are willing to follow the major shareholders to make money together. In the face of the downturn in the economy, both sides agree that the private equity case brings a win-win situation.

Since the Taiwan monetary authority has been on the board of directors of the public to raise funds in strict way, after the financial crisis, LED manufacturers earnings appalling, increasing the difficulty of raising funds. The private placement as long as it is easier to raise funds to promote the private banking business as a financial tsunami after the financial tsunami.

Another reason for the prevalence of private equity, the Taiwan stock market downturn. As the past is now increased by ten percent off, resulting in the willingness of investors to subscribe is not high. But in comparison, the price of private equity is more flexible, as long as the two sides agreed that the forty percent off concessions are feasible. For example, the recent participation in Taigu billion light private bill discount to half off.

Another focus of the recent private placement is the vertical integration of various manufacturers business. Billion light to a card upstream of the LED chip, has more than 15% private equity in Taigu; with the help of Nichia to Guang Lei in the mainland pathway and manufacturing capabilities, again through private Guang Lei increased holdings became the largest shareholder; Inventec Group integrated connector business, through Wenmao shares xuande.