AUO plans to sell Zhongke factory to Micron for 680 million yuan

AUO Chairman Peng Shuanglang announced yesterday that in order to focus on operational strategies, activate assets and optimize financial structure, the board of directors resolved to sell some of AUO Crystal Materials' factories and ancillary facilities in Zhongke Houli Park to Micron for 3.05 billion yuan, or approximately 680 million yuan.

Peng Shuanglang pointed out that based on the operational strategy of flexible planning, the west side factory area was sold to Micron in August 2024 for a transaction amount of 700 million yuan. This time, the east side factory area was sold for a transaction amount of 3.05 billion yuan. It is expected that after obtaining the transfer approval from the China Science and Technology Administration Bureau in the first half of 2025, the entire factory area will be transferred together and handed over in installments before the end of 2027.

After deducting related transaction costs, taxes and losses and expenses related to the suspension of the solar monocrystalline wafer business, it is expected that after the transfer, approximately 1.8 billion yuan will be recognized as non-profit interests of the entire AUO Crystal Houli plant.

Legal persons are paying attention to AUO's asset revitalization plan. AUO General Manager Ke Furen said that AUO's closed factory in Singapore will be the next target for sale.

Faced with long-term business layout considerations, Peng Shuanglang said that AUO Crystal Materials will fade out of the solar monocrystalline wafer business, focus its resources on semiconductor testing wafers and components, and expand semiconductor material manufacturing and processing services.