Media Relations | News & Events

RMIH Announces Details of Main Board Listing

250,000,000 Shares Offered

At Between HK$1.51 to HK$1.88

〔25^th June, 2007, Hong Kong〕— A world-leading provider of integrated SMT production solutions for TFT-LCD products, Regent Manner International Holdings Limited (“RMIH” or the “Group”, stock code: 1997), today announced details of its proposed listing on the Main Board of The Stock Exchange of Hong Kong Limited (“SEHK”).

RMIH’s global share offering will amount to a total of 250,000,000 shares, of which 90% will be for placing and 10% will be offered to the Hong Kong public. The indicative price will be between HK$1.51 and HK$1.88 per share. Assuming the maximum Offer Price of HK$1.88, the Group expects to raise approximately HK$470 million from the Share Offer.

RMIH’s public offer will begin on 26 June 2007 (Tuesday) and will end at noon on 29 June 2007 (Friday). The allotment results will be announced on 9 July 2007 (Monday). Trading in RMIH shares is expected to begin on the Main Board of the SEHK on 10 July 2007 (Tuesday), under stock code of 1997. Shares will be traded in board lots of 2,000 shares.

RMIH’s parent company is listed on Taiwan OTC Market (TAIEX: 6278). RMIH was founded in 1997, the SMT services provided by the Group involve the mounting of chips directly and automatically onto TFT-LCD control boards at a very high speed. The SMT technology is able to produce high precision double-sided circuit boards ideal for small sized, high quality and high precision consumer electronic products.

Corporate Investors

Renowned institutional investors, Value Partners and CITIC Capital Investment Management (“CCIM”), have subscribed for shares in the Placing with lock-up period of 180 days. They have each agreed to subscribe for 25,000,000 Allocated Shares in the Placing, representing a total 20% of the total Offer Shares and 5% of the total number of issued Shares upon completion of the Share Offer.

Mr. Wu Kai Yun, Founder & Chairman of RMIH, said, “The listing of the Group is an important milestone in the Group’s business development. The fact that reputable corporate investors have subscribed for our shares is a clear sign that the Group’s potential for further development is highly regarded. The Group’s goal is to maintain its leading position in the SMT industry, provide high technology services with excellent quality to its customers. Listing on the Main Board of the SEHK will not only provide capital to accelerate the Group’s business development, but will also enhance our management structure and create a more transparent corporate governance regime.”

Renowned Customers

RMIH is the only company in the industry that provides SMT services for TFT-LCD related products as its core business. RMIH’s superior production technology is highly regarded by global reputable customers. Its major customers include AUO, the world’s top three TFT-LCD panel maker; INNOLUX, a member of the Foxconn Group, which is the world’s second largest LCD monitor manufacturer; CMO, the world’s fourth largest TFT-LCD panel maker; BOE, the largest TFT-LCD panel maker in the PRC; Proview, the world’s top 5 LCD monitor manufacturer; AmTRAN, the world’s top five LCD TV manufacturer; and USC, a Japan listed company and professional electronics manufacturer.

Economies of Scales & Co-location Strategy

RMIH has six production bases and currently operates a total of 76 production lines. Its production lines are located in Dongguan, Suzhou, Nanjing, Ningbo, Xiamen, and Foshan, and from 2004 to 2006 recorded an average utilization rate of over 85%. These production bases are all co-located with key customers, ensuring timely delivery of products and services and effective control of inventory levels, thus enhancing its operational efficiency.

Advanced Production Equipment

Successful players in the SMT industry require plentiful industry experience and advanced equipment. The Group holds crucial advantages due to its possession of advanced equipment and substantial production capacity. As a technology-conscious enterprise, RMIH uses the most advanced Panasonic SMT equipment, such as high-speed placement machines that require only 0.038 second to mount a chip, thereby enhancing its SMT production efficiency. Over the past three years, RMIH has successfully achieved a very impressive yield rate of more than 99.9%, helping the Group stand out in a highly competitive market.

Each of RMIH’s production plants has obtained a range of management and quality-related awards and certifications, including the certifications of ISO9001 Quality Management System, ISO14001 Environmental Management System and Sony’s ‘Green Partner’. The Group’s product quality has also been accredited by Dell, Pioneer and Bosch. These certifications reflect the high regards for the Group’s scope management and product quality management in the industry.

Huge market growth potential

According to recent market research, there has been a major surge in global shipments of TFT-LCD panels, as a result of the increasing use of TFT-LCD panels in products such as LCD TVs, Notebook PCs and LCD Monitors. The CAGR for shipment of TFT-LCD panels from 2006 to 2010 for LCD TVs, Notebook PCs and LCD Monitors is forecast to be 29%, 17% and 10% respectively. As a result, demand for TFT-LCD panel control boards is expected to increase hugely. Given its dominant position in the market, RMIH stands to benefit from unprecedented opportunities for growth.

Mr. Wu concluded, “To expand its market share of global SMT production, the Group has a number of initiatives planned. We aim to increase our production capacities so as to consolidate our leading position in the industry, and also strengthen our pool of human resources. At the same time, we will invest in new facilities when the time is right, and further enhance our capabilities for developing new products. The Group will also purchase and install additional machinery and equipment and set up SMT production lines at its plants in Ningbo, Xiamen and Foshan, which will in turn increase our market share. RMIH aims to become the best SMT production solutions provider in the world, and we are confident of achieving impressive returns for our shareholders.”