Catcher to kick off expansion plan for Tainan base
June 15, 2014, 12:04 am TWN
TAIPEI--Catcher Technology Co. (可成), one of Taiwan's leading metal casing suppliers, said that it will launch an expansion plan in the second half of this year to double the size of its production complex located in the southern city of Tainan.
In an annual general meeting, Catcher Chairman Hung Shui-shu (洪水樹) told shareholders that about one-third of the new plant in Yongkang District (永康區), expected to occupy about 30,000 pings (99,174 square meters) will be used as a research and development center.
Hung said over the next 3-4 years, Catcher will raise the size of its R&D workforce in Taiwan to 1,000 from the current 300 in a bid to strengthen its technology to meet needs from demanding customers.
The company did not disclose any financial details about the expansion plan.
Catcher, considered an "Apple concept stocks" on the local market, has so far spent NT$10.3 billion (US$343 million) this year in capital expenditures to expand its production capacity amid rising orders.
With part of the capex used, Catcher added 2,000 computer numerical control (CNC) machines to raise the number of its CNC machines to 18,000 units in the first quarter.
The NT$10.3 billion in capex so far this year has already exceeded the NT$9.6 billion the company spent over all of 2013, and it is possible that Catcher will raise its capex further as it upgrades production automation to cope with a labor shortage, Hung said.
He said Catcher will use its large chunk of retained earnings, which currently stands at NT$35.1 billion, to pay for the capex increase.