Liante Technology plans to invest 180 million yuan to build a factory in Malaysia

According to the announcement of Wuhan Liante Technology Co., Ltd., based on the development strategic needs of the company and its wholly-owned subsidiary, Malaysia Liante, and taking advantage of China’s advantages in the development of optical communication industry, to build a global manufacturing base, Malaysia Liante plans to invest 180 million yuan to build a manufacturing base project, with an estimated construction period of 24 months.
The specific construction contents are as follows:
(1) New land acquisition: The project plans to purchase land with a total land area of about 6200 m2 in Batu Kawan Industrial Zone, Penang, Malaysia;
(2) Newly purchased houses: It is proposed to purchase a two-story house with a building area of about 5800.00 m2 in Batu Kawan Industrial Zone, Penang, Malaysia;
(3) Project construction content: according to the process requirements for the production of optical modules, purchase relevant facilities and equipment, and transform the house into a production base, office space, logistics facilities, etc;
(4) Main products and production capacity after the completion of the construction project: after the completion of the project, it will have the batch manufacturing capacity of 10G, 25G, 100G and 400G optical modules, and it is estimated that the annual production capacity will be 1.1176 million optical modules;
(5) The approval procedures to be performed for the construction project: the project implementation still needs to purchase land, houses, decoration, environmental impact assessment, acceptance, foreign exchange payment filing, obtaining the approval of the local government and other pre-approval and related work.
Among them, Malaysia Liante purchased land and houses with its own and self-raised funds. According to the negotiation results of both parties, the purchase price of assets is expected to not exceed 50 million yuan. The company authorizes the general manager of Malaysia Liante or his designated agent to handle relevant procedures and sign relevant documents.
Liante Technology said that, based on the long-term needs of the company’s strategic planning and business development, and with the gradual expansion of the company’s relevant business scale, the company’s wholly-owned subsidiary, Malaysia Liante, plans to purchase land and housing and invest in the construction of manufacturing center projects, which will provide strong support for the sustainable development of relevant businesses, in line with the long-term interests of the company and shareholders.
After the completion of the above project, it will have the batch manufacturing capacity of 10G, 25G, 100G and 400G optical modules. It is estimated that the new annual capacity of 1.1176 million optical modules will have a positive impact on the company’s future performance, help to improve the company’s product capacity, further consolidate and improve the company’s market position, and enhance the company’s core competitiveness.