Shares of Hon Hai-affiliate companies also performed well. Together they contributed to a surge of the local benchmark stock index TAIEX by some 100 points in the morning hours. The TAIEX closed at 8,718.31, up 28.22 points from the previous trading day.
Hon Hai was supposed to open at its ex-right and ex-dividend price of NT$214 yesterday. As it turned out, Hon Hai opened at NT$241 and eventually closed at NT$240.5, marking an ex-right ex-dividend completion rate of 26 percent.
Hon Hai is paying NT$3 per share in cash dividends and NT$2 per share in stock dividends.
On Friday, Hon Hai shares saw a surge at the end of the trade, indicating investors were enthusiastic about taking part in Hon Hai's ex-right and ex-dividend.
Their optimism had to do with Hon Hai chairman Terry Gou's famous remarks: "I've never failed my long-term shareholders. Just buy Hon Hai shares, go home, and sleep."
Meanwhile, two pan-Hon Hai shares, Innolux Display Corp. and Pan-International Industrial Corp., also went up and at one point reached their daily limits.
Innolux pays NT$0.2 in cash dividends and NT$0.4 in stock dividends, and Pan-International pays NT$0.4 in both cash and stock dividends, translating into ex-right and ex-dividend margins of approximately NT$5 and NT$6, respectively, which can be covered with a surge of 7 percent daily limit.
In a separate story, Hon Hai is set to post stronger quarterly profit as global demand grows for laptops and electronics goods, according to analysts.
Hon Hai, also known by its tradename Foxconn, is set to report a net profit of NT$16.5 billion for the April-June quarter, up 29 percent from NT$12.8 billion a year ago, according to forecasts by six analysts surveyed by Reuters. That would be up 6 percent from the previous quarter.
Hon Hai, which makes consumer electronics and parts for the world's most well-known brands -- such as Apple's popular iPod music player -- has branched out to make new products with fatter margins, helping it maintain its growth.
"As Hon Hai continues to grow, it has to carry out acquisitions to strengthen its supply chain, and these investments will benefit the company in the long run," said CLSA analyst Vincent Chen.
The company, with a market value of around US$43 billion, makes cellphones for Nokia and networking devices for Cisco Systems Inc .
Goldman Sachs' analyst Henry King rates Hon Hai a "buy" with a target price of NT$325, about 15 percent above the company's Friday closing share price.
Hon Hai shares rose 22 percent since the start of this year, based on Friday's close.
Established in 1974, Hon Hai has subsidiaries such as Foxconn Technology Co. Ltd., which makes computer components, and Hong Kong listed Foxconn International Holdings, which makes mainly mobile phones. It has factories in China, Mexico, Hungary, India, Finland and the Czech Republic.
It competes with Singapore-based rival Flextronics International Ltd., which said in June that it planned to acquire California-based Solectron Corp.
