Passive component giant Yageo announced yesterday that it will suspend trading in stock market today and may announce new mergers and acquisitions. Regarding the reasons for the suspension, Yageo pointed out that a major information briefing will be held today and it is currently impossible to respond.
The Yageo suspension action caused many speculations, because at the same time there was no other passive component manufacturer suspension, the market speculated that the acquisition target may be in overseas, including the Japanese manufacturer Taiyo Yunden, the US manufacturer KEMET and so on.
Since last year, MLCCs, aluminum electrolytic capacitors, tantalum capacitors, solid capacitors, and chip resistors have all in shortage and have risen in price. In particular, MLCC has created considerable profits for Yageo, not only in the first quarter, but also in new record of high revenues. Break through 51% and create a profit of 144 million USD in a single season. Yageo’s share price also followed along the way and the market value exceeded 675 million USD. Together with Jamicon, who is a member of the same Yageo Group, the sale of the company’s interests has been fully realized, and cash in hand has approached 169 million USD. Regardless of the stock price, cash, etc., the market is expected to become Yageo’s merger and acquisition year this year.
With Yageo trading suspended today, it is predicted that this year is indeed a year of large expansion for Yageo.