Science-Based Industrial Park, Hsin-Chu, Taiwan, February 4, 1998 - At a special meeting held yesterday, the Board of Directors and Supervisors of Taiwan Semiconductor Manufacturing Company (TSMC or the "Company") (NYSE: TSM) approved two investment plans, and confirmed the previously announced appointment of Mr. Harvey Chang as Senior Vice President and Chief Financial Officer of the Company.
The two investment plans approved by the Board were 1) an investment of NT$1 billion in a new joint venture to be established in Taiwan, together with Acer Incorporated, the Korea company ANAM and other investors, to conduct the manufacture of integrated circuit ("IC") structure housing packages, testing and other related business; and 2) an investment of NT$150 million in Hontung Venture Capital Corporation.
Mr. YC Huang, the spokesman of TSMC, noted that the Company plans to invest NT$1 billion to jointly establish an IC packaging and testing company in Taiwan with other investors. TSMC shall acquire 20% of the total shares of the joint venture company. The technologies to be used by the joint venture company shall be transferred from ANAM Group.
Hontung Venture Capital Corporation ("Hontung") is a new venture capital company in Taiwan promoted by the joint efforts of Acer Group and Hotung Group. The promoters are now applying for approval from the Ministry of Finance for the incorporation of Hontung. It is expected that Hontung will be duly incorporated sometime this year. Hontung's investments will be targeted at software and communication industries in Taiwan, North America and Asia Pacific regions.
"TSMC is the world's largest dedicated integrated circuit ("IC") foundry and offers a comprehensive set of IC fabrication processes, including processes to manufacture CMOS logic, mixed-mode, volatile and non-volatile memory and BiCMOS chips.