Jingdian throws NT$5 billion to expand production capacity across the Taiwan Strait and pass 2.5 billion private placements

On June 27, Li Bingjie, chairman of Jingyuan Optoelectronics, said at the shareholders' meeting that the gap between production capacity and demand of crystal power is as high as 20% to 30%. In order to meet the peak of the next wave of LED lighting, Jingdian will expand its production in Xiamen and Zhunan, with an investment of more than 5 billion yuan (NTD, the same below), and seize the position of the world's top two LED epitaxial plants.

In addition, the shareholders of Jingdian will pass the private equity common stock within the 250 million shares, with a denomination of 10 yuan per share. If all of them are issued smoothly, the proportion of the share capital after the capital increase will be 22.5%. Jingdian expects this 2.5 billion yuan private fund to help the future development of LED lighting.

At present, the production capacity of Jingdian is full, but it has not met the customer's demand. Jingdian said that if it does not expand production, it will be equal to raising competitors, so it decided to expand production next year.

Li Bingjie analyzed that if LED lighting reaches a peak in 2018, the entire market needs about 3,000 MOCVD machines. Crystal power has to grab the top two in the world, second only to Japan, with a market share of at least 15%. Then, Jingdian will move toward this goal in the next few years. At present, the MOCVD machine of Jingdian has 160 sets of blue light and 60 sets of quaternary red light.

Jingdian has planned the next five years from last year, because the LED lighting industry will have great changes in 2015. Jingdian will have more obvious capital expenditures next year, and the expansion plan can be mass-produced in 2014.

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