Flexible PCB makers raise funds to address growing business operations -

 Flexible PCB makers raise funds to address growing business operations -

Zhen Ding Technology Holding, Flexium Interconnect and Career Technologies, the three major Taiwan-based flexible PCB makers in Apple's supply chain, have continued to ramp up their capital spending for the development of more advanced technologies and expansion of their production capacity, according to industry sources. Flexium completed the installation of a new roll-to-roll automated production line recently, which will double its capacity for high-end FPCBs, the sources noted, adding that shipments of high-end FPCBs for high-end smartphones will account for 50% of Flexium's total sales in 2014. Flexium's capital spending for 2014 will be less than NT$1 billion (US$ 33.48 million) compared to NT$1.8-2.0 billion spent in 2012-2013. However, the company raised an additional NT$2 billion through issuing domestic convertible bonds. The funds will be used to finance its business expansion in 2015, said the sources. Career's capex will reach NT$1.6 billion, mainly for the purchase of new production equipment and capacity ramps. Career has landed FPCB orders from more than 10 wearable device players, which will ramp up its shipment growth in the second half of 2014, indicated the sources. Career also plans to issue up to NT$1.5 billion worth of domestic convertible bonds in order to raise more funds for expansion in 2015. Zhen Ding's capital spending will reach US$150 million in 2014, with 70-80% to be used to expand its FPCB production, revealed the sources. To finance its operations in 2015, the company also raised US$300 million through issuing ECB (euro convertible bonds) recently.