CNA

TAIPEI–Daxin Materials Corp., a subsidiary of flat panel maker AU Optronics Corp., said Friday it plans to list on the Taiwan Stock Exchange in mid-July.

According to the company’s prospectus, Daxin Materials, a provider of advanced chemical materials used in the production of LCD panels, intends to issue 8.698 million new shares to raise funds as working capital.

The company, which is currently capitalized at NT$802.34 million (US$26.83 million), said the issue price has been tentatively set at NT$33. At that price, Daxin Materials would raise about NT$287 million from the listing, which will be used toward improving its financial structure, the company indicated.

AUO, Taiwan’s second largest flat panel supplier, and Eternal Chemical Co. of Taiwan, set up Daxin Materials in 2006. Currently, AUO holds a 21.32 percent stake and Eternal Chemical owns a 29.53 percent stake in the joint venture. Daxin Materials’ major products include photo spacers, color resists, alignment layers and photo resist cleaners, which are used by the optoelectronics industry, especially for flat screen production, the company said.