Sanan Optoelectronics will not only expand production in Wuhu, but also prepare new MOCVD equipment in Xiamen, and the Xiamen Municipal Government has promised to provide subsidy support.
Sanan Optoelectronics announced on the evening of the 18th that its wholly-owned subsidiary, Xiamen Sanan Optoelectronics Technology Co., Ltd. (hereinafter referred to as “Xiamen Sananâ€) has signed relevant subsidy agreements with the Siming District People's Government of Xiamen. Xiamen Sanan will invest no more than 280 million yuan, adding 20 international single-cavity machines or 5 four-cavity MOCVD equipment and expanding some LED chip production lines.
Sanan Optoelectronics said that the Xiamen Municipal Government and the Siming District Government of Xiamen City, in order to encourage and support the development of the optoelectronic industry, will refer to the support policy of Xiamen Torch Park to subsidize the import of MOCVD equipment from enterprises under the jurisdiction of Xiamen Sanan Optoelectronics Technology Co., Ltd. The company purchased 20 MOCVD equipment for subsidies.
The specific scheme is that a single-cavity 54-piece model (converted to 2 inches) will be subsidized at no more than 5 million yuan per unit; or 216 (converted to 2 inches) four-cavity joint models will be given at 20 million yuan each. subsidy. It is speculated that the local government's subsidy will not exceed 100 million yuan.
Sanan Optoelectronics' shareholder meeting just passed the plan for its private placement. According to its fixed plan, Sanan Optoelectronics plans to issue additional funds of 3.3 billion yuan, of which 2.8 billion yuan will be used for the expansion of the Wuhu base. It will purchase new MOCVD equipment and increase the production capacity of LED chips.
"The expansion of Wuhu and Xiamen is two different things." Wang Qing, secretary of the Board of Directors of Sanan Optoelectronics, told reporters last night that the Wuhu base is expanding production capacity, while the Xiamen base is focusing on "upgrading and upgrading". Xiamen Sanan will eliminate 6~8 sets of old ones. Machines, these old MOCVD equipment have been "infected" for 8 years, reaching the end of life.
Whether it is the expansion of the Wuhu base or the upgrading of the Xiamen base, Wang Qing said that Sanan Optoelectronics hopes to further consolidate the production scale of LED chips.
The LED chip industry has experienced "two days of ice and fire" in the past few years: the previous year's profit, last year's serious losses. Under the subsidies of local governments, all over the country competed in the LED chip project, blindly expanding production capacity, resulting in oversupply and falling prices. Therefore, since the beginning of this year, subsidies from local governments have gradually faded out.
Why does the Xiamen Municipal Government subsidize Xiamen Sanan at this time? Wang Qing explained that the local industrial development in Xiamen is relatively backward, so local governments hope to support existing and potential projects.
For more details, please read the exclusive topic planning of Gaogong LED: Alternative Sanan, is it capital or market?
Sanan Optoelectronics announced on the evening of the 18th that its wholly-owned subsidiary, Xiamen Sanan Optoelectronics Technology Co., Ltd. (hereinafter referred to as “Xiamen Sananâ€) has signed relevant subsidy agreements with the Siming District People's Government of Xiamen. Xiamen Sanan will invest no more than 280 million yuan, adding 20 international single-cavity machines or 5 four-cavity MOCVD equipment and expanding some LED chip production lines.
Sanan Optoelectronics said that the Xiamen Municipal Government and the Siming District Government of Xiamen City, in order to encourage and support the development of the optoelectronic industry, will refer to the support policy of Xiamen Torch Park to subsidize the import of MOCVD equipment from enterprises under the jurisdiction of Xiamen Sanan Optoelectronics Technology Co., Ltd. The company purchased 20 MOCVD equipment for subsidies.
The specific scheme is that a single-cavity 54-piece model (converted to 2 inches) will be subsidized at no more than 5 million yuan per unit; or 216 (converted to 2 inches) four-cavity joint models will be given at 20 million yuan each. subsidy. It is speculated that the local government's subsidy will not exceed 100 million yuan.
Sanan Optoelectronics' shareholder meeting just passed the plan for its private placement. According to its fixed plan, Sanan Optoelectronics plans to issue additional funds of 3.3 billion yuan, of which 2.8 billion yuan will be used for the expansion of the Wuhu base. It will purchase new MOCVD equipment and increase the production capacity of LED chips.
"The expansion of Wuhu and Xiamen is two different things." Wang Qing, secretary of the Board of Directors of Sanan Optoelectronics, told reporters last night that the Wuhu base is expanding production capacity, while the Xiamen base is focusing on "upgrading and upgrading". Xiamen Sanan will eliminate 6~8 sets of old ones. Machines, these old MOCVD equipment have been "infected" for 8 years, reaching the end of life.
Whether it is the expansion of the Wuhu base or the upgrading of the Xiamen base, Wang Qing said that Sanan Optoelectronics hopes to further consolidate the production scale of LED chips.
The LED chip industry has experienced "two days of ice and fire" in the past few years: the previous year's profit, last year's serious losses. Under the subsidies of local governments, all over the country competed in the LED chip project, blindly expanding production capacity, resulting in oversupply and falling prices. Therefore, since the beginning of this year, subsidies from local governments have gradually faded out.
Why does the Xiamen Municipal Government subsidize Xiamen Sanan at this time? Wang Qing explained that the local industrial development in Xiamen is relatively backward, so local governments hope to support existing and potential projects.
For more details, please read the exclusive topic planning of Gaogong LED: Alternative Sanan, is it capital or market?
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