Citation :
Powerchip Semiconductor Manufacturing Corp. (PSMC) is the sixth largest chip foundry in the world, behind China’s HuaHong Group. It currently trades on the Taipei Exchange (emerging market) under the stock ticker code: 6770. PSMC plans to list on the Taiwan Stock Exchange (TWSE) in December of this year. The details below are from materials provided by PSMC, in addition to online meetings as part of the roadshow leading up to the initial public offering (IPO). The company’s IPO prospectus is not yet available. It’s important to remember that the prospectus is a legally binding document in terms of the veracity of the information. The TWSE approved PSMC’s IPO application in late September. One of the most interesting details to come out of PSMC’s roadshow presentations has been that the company, which competes with cross-town rivals Taiwan Semiconductor Manufacturing Corp. (TSMC) and United Microelectronics Corp. (UMC), saw its gross margin in August rise to 44 percent, and management believes it will continue to rise in the fourth quarter – with the potential to finish 2021 with a full year gross margin over 40 percent. Last year, its full year gross margin was 24 percent.
|