News - Wiwynn

Wiwynn Announces Board Resolution to Spin Off Tainan Branch

Written by Press | Nov 14, 2024 2:00:00 AM

Following the Board of Directors meeting on November 13, Wiwynn (the Company) announced the board resolution to spin off Tainan Branch. The Tainan Branch will be transferred to a newly established, wholly owned subsidiary, Wiwynn Smart Manufacturing Corporation.

This organizational restructuring aims to enhance function specialization and streamline management structure, enabling the new subsidiary to operate more flexibly and efficiently while strengthening core competitiveness and boosting operational performance.

As Wiwynn Smart Manufacturing Corporation is a wholly owned subsidiary of Wiwynn, this spin-off will not affect the book value per share (BVPS) or earnings per share (EPS) in the consolidated financial statements of Wiwynn. As part of the organizational restructuring, the equity value of the shares held in Wiwynn Smart Manufacturing Corporation will equal the business value being spun off, ensuring no impact on shareholder equity.

The estimated business value to be transferred through this spin-off is NT$10,000,000,000. The Company will exchange 50,000,000 shares of newly issued Wiwynn Smart Manufacturing Corporation common stock at NT$200 per share.

This spin-off follows the provisions of Article 36, Paragraph 1 of the Business Mergers and Acquisition Act, resolved directly by the Board of Directors. The effective date for the spin-off is set for May 1, 2025. The Chair is fully authorized to make any necessary adjustments.

Upon completion of the spin-off, the Company will further enhance function specialization, leading to an improvement in overall operational performance and continuous value creation.