On June 2nd, Shen Tianma announced that according to the development strategy plan of Tianma Microelectronics Co., Ltd., the company plans to expand its production on the basis of the 6th generation LTPS AMOLED project of Wuhan Tianma Microelectronics Co., Ltd., a wholly-owned subsidiary. The sixth-generation LTPS AMOLED production line capacity scale, namely the construction of the second phase of the 6th generation LTPS AMOLED production line project (Wuhan) (hereinafter referred to as "the second phase project").
According to the announcement, the project's total investment will be estimated at RMB 14.5 billion, of which RMB 8.5 million will be funded by Tianma by capital injection into Wuhan Tianma, and the remaining RMB 6 billion will be funded by Wuhan Tianma with bank borrowings. Tianma will allocate RMB 8.5 billion in capital injection through internal resources and financing.
After the project is completed and put into production, it will achieve a production capacity of 22,500 pieces of flexible AMOLED display panels per month, making the sixth generation LTPSAMOLED production line projects and projects produce a total of 37,500 pieces of flexible AMOLED display panels per month.
Up to now, Hubei Provincial Science and Technology Investment Group Co., Ltd. (hereinafter referred to as "Hubei Ketou") holds 6.14% of the company's shares, and the Administrative Committee of Donghu Development Zone is the controlling shareholder of Hubei Ketou, in accordance with the "Stock Listing Rules of Shenzhen Stock Exchange". Article 10.1.3 (d) stipulates that the signing of the cooperation agreement constitutes a related party transaction.