South Asia photoelectric, Hon Hai intends to enter China

Alleged Taisu group in South Asia and optoelectronics, Hon Hai group interested in the White China (6289), but China is denied. This is the second (3061), canyuan Guangjia (8199) after the recent third big companies came after LED epitaxial plant sources.

China's recent share price relatively strong performance, the recent turnover has enlarged signs of merger rumors, since the end of March, China shares rose 24%. April 8, 2008 market fell 56 points, LED stocks weak, only relatively strong in China, or up to close at $25.6 in 2.8%.

LED packaging industry revealed that the Formosa Plastics Group under the South China photoelectric interest. South Asia optoelectronics was founded only 4 years, the product includes a blue LED crystal, as well as the $four LED chip. South Asia photoelectric four yuan LED Lei chip sold to China, the two sides have more than a year of business dealings.

The industry also pointed out that there is interest in China and Hon Hai, and rumors for a long time. However, the industry is unlikely to analyze the possibility of Hon Hai, as a result of the four yuan on the Chinese LED strong, weak blue light, while the long-term layout of the Hon Hai in the LED lighting and LCD TV backlight, into the Chinese on the lower efficiency.

China on the rumors were denied admission, China pointed out that the current and Hon Hai, South Asia and no contact with the latter only business. Insiders said that the upper reaches of the LED high technical barriers, the factory is the fastest way to enter the upper reaches of the upstream, so the recent extension of the plant financing case, will cause the industry attention.

Source: Taiwan Business Times