TSMC to list solar and LED assets on stock market
The company has also restructured its senior staff and has said it will increase wages and change the retirement age to 67
According to the China Post, Taiwan Semiconductor Manufacturing Co. (TSMC) is planning to list its solar energy and LED assets in the stock market over the next few years.
TSMC's chairman, Morris Chang said that led by Rick Tsai, chairman and CEO of TSMC Solar Ltd. and TSMC Solid State Lighting Ltd., the chip maker's solar energy and LED businesses have become competitive in the world market in terms of technology and cost control.
Chang said he believes the two new businesses will continue to grow and expand their economies of scale next year.
He said the two new businesses are the aces of TSMC and that he hopes to list their assets in the stock market in the near future.
TSMC entered both the solar energy and solid state lighting (SSL) businesses in 2009.
The giant chip maker transferred its SSL assets into a wholly owned subsidiary - TSMC Solid State Lighting - in August 2011.
TSMC Solar established a solar research and development centre in Taichung in 2010 and launched TSMC Solar North America and TSMC Solar Europe GmbH that same year to cater to the North American and European markets. Apart from TSMC Solar, TSMC owns a 20 percent stake in Taiwan-based crystalline silicon solar cell supplier Motech Industries Inc.
Speaking at TSMC's annual sports day, Chang said the company will increase wages in April next year as scheduled. Chang also said the company will not make any layoffs or force its employees to take unpaid leave.
He noted that the company's bonuses for its employees in the second quarter were up more than 20 percent from a year earlier, and said employees will be given fat bonuses in the third quarter, as TSMC's net profit and consolidated sales hit record highs on the back of solid demand for mobile communications devices.
There are to be even more changes at TSMC. Today, the firm held a meeting of the Board of Directors, which passed several resolutions.
Capital appropriation of approximately US$829.2 million for the purpose of installing, expanding and upgrading advanced technology capacity, as well as approximately US$178.4 million in R&D capital appropriations and sustaining capital appropriations was approved.
Also agreed was upon was the appointment of Drs. Mark Liu and C. C. Wei as President and Co-Chief Executive Officer of TSMC. They will both report to and perform such duties as designated by the Chairman of the Board. After such appointment, Finance and Legal organisations will continue to report to the Chairman.
The Board also approved the promotion of Dr. Been-Jon Woo, currently the Director in charge of Business Development Organisation, as Vice President.
The final change will be to set the mandatory retirement age to 67.
In Q3 2013, TSMC posted net revenues of NT$162.58 billion (around US$5.51 billion), a 14.9 percent increase from the same quarter last year. In the next quarter, the company believes revenues will be between NT$144 billion and NT$147 billion ( US$4.88 to US$4.98 billion).
