Huaying faces delisting, retains 6G LCD production line for a comeback

- Apr 03, 2019-

It is reported that as the net value of the stock turns negative, Huaying (CPT) will be delisted from the Taiwan Stock Exchange (TWSE), while at the same time retaining its 6G LCD production line, in order to make a comeback.

SC Huang, chief financial officer of Huaying, revealed at a press conference held on the Taiwan Stock Exchange on March 27 that the company’s comprehensive income in 2018 was NT$24.02 billion (US$7.7799 billion) and the loss after tax was NT$25.283 billion. After deducting the loss of subsidiary Huaying Technology, the company's net loss was NT$19.56 billion. As a result, the total value of Huaying's assets is NT$4.562 billion, or the net negative capital per share is NT$0.7.

Huang said that according to IFRS 10 on consolidated financial statements, Huaying has lost control of Huaying Technology, a Huawei-based company that produces flat panel display components since the end of 2018. Since then, Huaying has excluded the subsidiary from its consolidated financial statements.

Huang said that Huaying currently has a 6G panel production line and two 4.5G production lines. At present, the company has resumed the operation of the 6G production line and a 4.5G production line, and is able to provide customers with small-volume shipments.

At the same time, Huaying will maintain a 6G product line with higher commercial utility in order to make a comeback in the future; whether the sale of these two 4.5G production lines depends on the decision of the reorganizer.