Business and Finance

Sharp deal unlikely this month: sources

UNSETTLED:Hon Hai is waiting for the latest results from Sharp, which says it expects a profit of ￥10 billion for this fiscal year, while analysts estimate a loss of ￥24 billion

Taipei Times
Date: Mar 16, 2016
By: Bloomberg

Hon Hai Precision Industry Co (鴻海精密) is delaying finalization of its deal for Sharp Corp to get a clear understanding of the Japanese company’s performance in the current quarter, increasing the chances an agreement would not be reached this month, according to people familiar with the matter.

Hon Hai, which agreed to pay more than ￥600 billion (US$5.3 billion) for control of Sharp, has asked the Osaka-based company and its auditor for the latest financial results, said the people, who asked not to be identified because the matter is private.

Sharp has said it expects an operating profit of ￥10 billion for the fiscal year that ends this month, while analysts estimate the company would have an operating loss of about ￥24 billion.

Sharp’s board last month voted to accept the offer of Hon Hai — known as Foxconn Technology Group (富士康科技集團) outside Taiwan — over a competing bid from Innovation Network Corp of Japan (INCJ), a government-backed investment fund that planned to pay about ￥300 billion.     [FULL  STORY]

Ex-EVA chairman demands financial review

Taiwan News
Date: 2016-03-15
By: Matthew Strong, Taiwan News, Staff Writer

TAIPEI (Taiwan News) – Former EVA Airways Chairman Chang Kuo-wei was 6741508asking for a review of the financial statements of a key overseas-registered Evergreen Group affiliate for the past five years, reports said Tuesday.

The demand, reportedly made through his attorney to one of the persons in charge of group founder Chang Yung-fa’s will, was seen as the latest battle in the fight over the tycoon’s inheritance between his two widows.

Last week, Chang Kuo-wei, the only son of the founder’s second wife, was ousted from his position as chairman of the group’s airline after he had also seen Evergreen’s management headquarters disbanded, dislodging him from the overall leadership of the powerful corporation, which includes one of the world’s largest shipping companies.     [FULL  STORY]

Taiwan joins global ‘antibiotics off the menu’ campaign

Focus Taiwan
Date: 2016/03/15
By: Yang Su-ming and Evelyn Kao

Taipei, March 15 (CNA) Taiwan’s consumer protection authorities launched an 201603150022t0001initiative Tuesday to encourage the country’s food suppliers to stop selling meat and fresh food products containing excessive antibiotics, in response to a global campaign to get antibiotics off the menu.

Consumers International (CI), the world federation of consumer groups, has highlighted an issue that is important to consumers around the world and has set an annual theme for consumer organizations worldwide to work together to promote the issue, Liu Ching-fang (劉清芳), director-general of the Cabinet’s Department of Consumer Protection, said Tuesday at a press conference to promote the initiative.

This year, CI announced the theme as “antibiotics off the menu” to mark World Consumer Rights Day on March 15, as antibiotic resistance is rising to dangerously high levels in all parts of the world, Liu said.     [FULL  STORY]

Taipower apologizes over nuclear power plant mishap

Taiwan News
Date: 2016-03-14
By: Central News Agency

The state-owned Taiwan Power Company (Taipower) apologized Monday for a mishap last week that caused a reactor at the No. 1 nuclear power plant in New Taipei’s Shimen District to shut down due to a higher than normal water level.

Chien Fu-tien, head of Taipower’s Department of Nuclear Generation, said that after a probe into the March 10 incident, it was found that an employee had inadvertently touched a power button, which resulted in cooling water entering the reactor.

“Taipower is very sorry about the incident,” Chien said.

He said the employee has been disciplined with a salary reduction of NT$20,000 (US$612) per month and has been transferred to a different post. Related superiors have also been turned over to a disciplinary committee.     [FULL  STORY]

Foreign net buying of Taiwanese stocks exceeds NT$55 billion

Focus Taiwan
Date: 2016/03/14
By: Tien Yu-bin and Christie Chen

Taipei, March 14 (CNA) Net buying of Taiwanese stocks by foreign investors 2016031400301had reached NT$55.95 billion (US$1.71 billion) this year as of Friday, the Taiwan Stock Exchange Corp. (TWSE) said Monday.

As of March 11, foreign investors held NT$9.87 trillion in shares on the market, or 38.76 percent of the total value of all listed stocks. The figure represents an increase of NT$107.33 billion from the March 4 total.

Foreign investors’ top three net buying targets by volume were China Development Financial Holding (中華開發金控) with 56,061,000 shares, Taiwan Semiconductor Manufacturing Co. (台積電) with 47,901,000 shares and AU Optronics Corp. (友達) with 47,094,000 shares, the TWSE said.     [FULL  STORY]

Yang Ming inks partnership deal

COOPERATION EXPANDED:The agreement with Thailand’s Regional Container Lines is expected to improve vessel utilization, reduce operating costs and expand coverage

Taipei Times
Date: Mar 15, 2016
By: Ted Chen / Staff reporter

Yang Ming Marine Transport Corp (陽明海運) yesterday inked a partnership

The YM Wellness arrives at Kaohsiung port on its maiden voyage on Aug. 25 last year. Photo: Huang Chien-hua, Taipei Times

The YM Wellness arrives at Kaohsiung port on its maiden voyage on Aug. 25 last year. Photo: Huang Chien-hua, Taipei Times

agreement with Thailand’s Regional Container Lines Group aimed at pooling the companies’ resources to weather a persisting downturn in the sector.

Due to slowing growth in developed markets, the companies are hoping to further tap the Asian market, where growth has been more resilient.

The companies yesterday announced plans to expand bilateral cooperation on terminal operations in Taiwan and Thailand, slot exchange and vessel chartering services, as well as laden trucking and equipment interchange contracts.

The agreement is to improve vessel utilization, reduce leasing and other operational costs, and expand coverage and quality of liner services, the companies said.     [FULL  STORY]

TWSE holds investment seminars in Southeast Asian markets

Focus Taiwan
Date: 2016/03/13
By: Tien Yu-pin and Kuo Chung-han

Taipei, March 13 (CNA) The Taiwan Stock Exchange (TWSE) held a series of 201603130009t0001investment seminars in Malaysia, Singapore and Hong Kong earlier this month to promote Taiwan’s capital market and its electric car industry.

About 150 representatives of institutional investors attended the forums, while 136 one-on-one meetings were arranged between Taiwanese listed companies and investors, according to the TWSE, which operates the local main board.

It said most of the participating firms were Taiwanese manufacturers in the global electric car supply chain, as the booming global electric car industry has been attracting the attention of many institutional investors worldwide.

As of the end of 2015, shares held by foreign investors accounted for roughly 40 percent of the current value of Taiwan’s secondary market, which indicates the importance of foreign investors in the capital market, the exchange said.     [FULL  STORY]

Taiwan Business Quick Take

Taipei Times
Date: Mar 14, 2016
By: Staff writer

Gourmet Master Co (美食達人), the operator of cafe and bakery chain 85°C (85度C), saw its net income last year doubled to NT$1.14 billion (US$34.60 million) from the previous year’s NT$527 million thanks to the company’s focus on organizational restructuring, cost control and brand building. Earnings per share were NT$8.07 last year, compared with the NT$3.74 recorded a year earlier. Total sales rose from NT$17.92 billion in 2014 to NT$20.46 billion last year, as store remodeling was progressing well in both Taiwan and China, the company said.     [FULL  STORY]

ChipMOS, Chaun-Choung to hold investor conferences soon

The Taiwan News
Date: 2016-03-13
By: Central News Agency

ChipMOS Technologies (8150) and Chaun-Choung Technology Corp. (6230) will each hold an investor conference on March 15, according to the Taiwan Stock Exchange Corporation (TWSE).

ChipMOS, which plays a leading role in the semiconductor testing and assembly business, ranks as the world’s second- largest company in terms of production capacity of IC display drivers.

It serves mainly IC design companies, integrated device manufacturers and wafer foundries, focusing on the manufacture of LCD IC display drivers, memory chips and mixed signal integrated circuits and on providing IC packaging and testing solutions.     [FULL  STORY]

Domestic fuel prices to rise by NT$0.9 per liter this week

Focus Taiwan
Date: 2016/03/13
By: Tsai Yi-chu and Evelyn Kao

Taipei, March 13 (CNA) The state-owned CPC Corp., Taiwan (中油) announced 201603130012t0001Sunday an increase in its gasoline and diesel prices of NT$0.9 (US$0.03) per liter, effective Monday, citing rising crude oil prices.

After the price adjustments, CPC’s 92 octane, 95 octane and 98 octane unleaded gasoline will go up to NT$21.3, NT$22.8 and NT$24.8 per liter, respectively, while the price of its super diesel will increase to NT$18.6 per liter.

It will be the fourth consecutive weekly hike in domestic fuel prices and will put CPC’s 95 octane close to the record high of NT$23.1 on Dec. 7 last year.     [FULL  STORY]