NAND flash controller designer Skymedi will issue up to 10 million new shares through a private placement, with a face value of NT$10 (US$0.31) per share, the company's shareholders approved on June 23. The fundraiser is to enhance its business operation and also bring in strategic partners.
Skymedi did not reveal the sum it expects to raise via the private placement, or specific target investors.
Market sources speculate Skymedi is eyeing investment from NAND flash chipmakers to strengthen its relationships with the upstream vendors. Skymedi may also be targeting memory module houses in a move to bring in new orders, according to the sources.
Samsung Electronics, Intel and Kingston Technology are among Skymedi's corporate shareholders.
Skymedi's shareholders also approved the distribution of a dividend per share of NT$0.50 in cash and NT$0.05 in stock for its 2009 operations.