DigiTimes has reported that CMC Magnetics, Ritek, Prodisc and Optodisc are having problems raising funds and have requested extensions for loan payments.
CMC and Ritek each applied for floating ECBs (euro convertible bonds) worth US$200 million, while Prodisc and Optodisc applied for the issuing of new shares to raise additional capital of NT$2.0 billion and NT$1.0 billion, respectively, from target investors, the sources indicated. Except for NT$1.0 billion that Prodisc has raised, all the other fundraising have been stalled due mainly to strict government reviews of the applications, the sources pointed out.
The article also mentions that the shortage of funds may have a negative impact on the R&D of next-generation blue-laser discs. If you'd like to read more, head on over to DigiTimes.
