2012 News Archives
News Search :
2012-10-09

HSINCHU, TAIWAN — October 9 2012 — Microelectronics Technology Inc. (MTI) privately placed mandatory convertible bonds this September in order to enhance MTI’s working capital and strengthen the company's financial structure. The funding has been paid up in full on September 28, 2012.  In accordance with Article 168 of the Company Act, Board of Director approved to hold an interim shareholders’ meeting to approve a capital reduction plan to offset company accumulated losses, and to by-elect three directors (including one independent director) and one supervisor.

MTI’s accumulative un-distributed retained earnings were deficit NT$1,688,077,090 as of December 31, 2011. The company plans to amend the 2011 covering of loss which was approved in the annual shareholders’ meeting on May 4, 2012 to offset accumulated losses by legal reserve, paid-in capital in the interim shareholders’ meeting.  After the amendment of the 2011 covering of loss, the company will propose the capital reduction of NT$1,439M or 34.84% to the interim shareholders’ meeting.  The cancelled shares will be 143,907,678. Based upon CPA audited financial statements for the first half year of 2012, MTI’s capital is NT$4,130,372,030; based upon that, the capital will be reduced to NT$2,691,295,250 and book value per share could be adjusted from NT$5.37 to NT$8.24 after capital reduction.

The bonds with the characteristic of mandatory convertible are deemed to be recognized under the stockholders’ equity of the balance sheet. In result, the book value per share will increase NT$4.35 (or NT$6.68 after capital reduction) before the mandatory convertible bonds are converted to common shares.  Furthermore the conversion price per share of aforesaid mandatory convertible bonds will be adjusted from NT$9 to NT$13.81 after the capital reduction.  Following the capital reduction and after the convertible bonds are converted to common shares, MTI’s capital will be NT$3,994,699 thousands.

About MTI
Microelectronics Technology Inc. (MTI) is a technology company specialized in wireless communication product development, manufacturing and global sales for more than 29 years.  Based on the core competence in microwave and RF technology, MTI has established a leading position in the fields of microwave radios, satellite ODUs and receivers, mobile base station components and broadband wireless access products.  With this excellent record of accomplishment, MTI has established long-term partnerships with world’s leading communication equipment providers.
For more information, please visit http://www.

 

PREV
NEXT
About Us Products Services & Support Investors Careers Press Center