Taipei, May 16 (CNA) Taiwan-based manufacturing giant Hon Hai Precision Industry said on Monday it would not send a company representative to sit on the board of flat-panel maker Innolux Corp. but will continue to focus on its "3 plus 3" initiative.
Taipei, May 16 (CNA) Taiwan-based manufacturing giant Hon Hai Precision Industry said on Monday it would not send a company representative to sit on the board of flat-panel maker Innolux Corp.
Hon Hai Precision Industry Co (鴻海精密) yesterday said it would not send representatives to the board of flat-panel maker Innolux Corp (群創光電).
Hon Hai, known as Foxconn Technology Group (富士康科技集團) outside of Taiwan, said in a statement that its wholly owned subsidiary Hyield Venture Capital Co (鴻揚創投), which owns a 1.67 percent stake in Innolux, would not send any representatives to the flat-panel company as board members.
Following the announcement, Hon Hai shares rose 0.48 percent to NT$104.5, while Innolux shares fell 0.74 percent to close at NT$13.35 on the Taiwan Stock Exchange.
Innolux, which has proposed reducing its capital by 9.5 percent
Hon Hai Precision Industry Co’s (鴻海精密) decision to reduce its stake in Fitipower Integrated Technology Inc (天鈺科技) by selling 9.09 million shares yesterday sparked a plunge in the integrated circuit designer’s stock.
Fitipower shares dropped 7.87 percent to NT$216.5 in Taipei trading, the lowest since Dec. 8 last year. They have declined 23.23 percent so far this year amid net selling by domestic proprietary traders and investment trust firms.
Hon Hai shares ended yesterday flat at NT$104.5. They have edged up 0.48 percent since the beginning of this year.
The deal has attracted market attention at a time when Hon Hai is extending
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