Nanya Technology: SK Hynix and 4 Other Clients Participate in Private Placement to Fund Capacity Expansion

TAIPEI, April 13 (CNA) -- DRAM manufacturer Nanya Technology conducted a private placement of 351.57 million shares, attracting investments from four major companies: SK Hynix, Solidigm (a subsidiary of SK Hynix), Sandisk Technologies (a subsidiary of SanDisk), Kioxia, and Cisco. Nanya Technology President Lee Pei-ying stated that this move will strengthen cooperation with clients, establish a win-win situation, enhance supply capacity, and solidify Nanya Technology's market position in the AI value chain.

Lee Pei-ying provided details on the private placement involving Solidigm, Sandisk Technologies, Kioxia, and Cisco during an online investor conference today.

Lee pointed out that the total private placement amounted to NT$78.72 billion, with the four major clients collectively holding 10.19% of the shares. Additionally, supply agreements include the stable provision of diverse DRAM products such as DDR5, LPDDR5, DDR4, LPDDR4, and DDR3.

Lee said that the private placement will bring four major benefits, which will gradually become apparent in the second quarter: strengthening Nanya Technology's cooperation with clients, establishing a win-win situation in the artificial intelligence and cloud service provider (CSP) supply chain, enhancing supply capacity, and solidifying Nanya Technology's market position in the AI value chain.

Lee Pei-ying stated that the private placement provides Nanya Technology with cash flow assistance, helping the company expand new production capacity to supply DRAM for cloud solid-state drives (SSDs) and networking to clients. Nanya Technology does not plan another private placement in the short term and will coordinate cooperation with clients through other solutions. (Editor: Yang Kai-xiang) 1150413