 2010-08-11 |
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(2010/08/11, Industrial and Commercial Times) The YC Group's resource integration strategy is fully underway, with ACHEM (1715) having held an extraordinary board meeting yesterday (10th) to approve Group President and YC Chairman Li Zhihsien as the new chairman. Former chairman Liao Zhengjing has been promoted to vice president of the group to leverage his extensive experience and enhance the group's global strategic perspective. However, this move has raised questions about whether it will lead to a merger between the publicly listed companies, YC and ACHEM.
In response, YC Group President Li Zhihsien stated that YC and ACHEM have different focuses in terms of distribution, products, and market management. He emphasized that allowing each company to concentrate on its areas of expertise is the way to enhance synergy and that the principle of maintaining separate public listings for both companies remains unchanged.
Li Zhihsien indicated that the group’s global adhesive tape business layout will be handled by ACHEM, while YC will focus on group holdings, upstream raw material BOPP films, and real estate development as its operational core. Currently, the total market value of the adhesive tape business led by ACHEM is approximately NT$12 billion, with plans to increase this market value to NT$30 billion within five years.
In addition, a new BOPP film production line in China is expected to begin operations in September, with a new BOPP film plant in Taiwan set to start production by the end of next year. By then, the total annual production capacity for BOPP films across both sides of the Taiwan Strait will reach 168,000 tons, an increase of 50%.
It is reported that both ACHEM and YC are expected to achieve record operational revenue for the first half of the year due to the adjustment of the group's resource integration structure, with EPS estimated to be around NT$1.5 to NT$2 for each company. |
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