Advanced Semiconductor Engineering (ASE) expects its merger with Siliconware Precision Industries (SPIL) to create synergies, and both companies will be able to derive considerable benefits from merging, according to ASE COO Tien Wu.

ASE and SPIL expect to start executing the merging deal by June 30, 2016, five days later than the original deadline.

Legal details are still being discussed, said Wu, adding that the consensus is to have the parent holding company maximize its potential benefits in the packaging and testing sector.

ASE and SPIL have agreed to form a new holding company that will own both of the companies. ASE and SPIL will become parallel sibling companies under the new entity, while maintaining their separate legal entity status and running their operations independently.

In addition, Wu commented that the UK's exit from the EU should have little impact on ASE and Taiwan's semiconductor industry. ASE's merger deal with SPIL will also not be affected by Brexit.

ASE also has its own strategy of hedging against exchange rate risks, Wu indicated. Besides, ASE's investments are more involved with the US dollar and Chinese yuan, Wu added.