Author Topic: DNEX 4456. Potential to be Malaysia's Tech Giant if it takes over SilTerra  (Read 188 times)

Offline Raging bull

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 Zubir.
CYBERJAYA: Dagang NeXchange Bhd (DNeX) is upbeat about exploring new growth area in semiconductor with the bidding for SilTerra Malaysia Sdn Bhd (SilTerra).

 Group managing director Datuk Seri Syed Zainal Abidin Syed Mohamed Tahir said DNeX would want to be given the opportunity to turn around the semiconductor manufacturer.


 "We do have the turnaround expertise as we have managed to turn around Time Engineering Bhd, the old company of DNeX.

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 "We also partner with Beijing CGP Investment Co Ltd (Beijing CGP) that is willing to provide transfer of technology and ready market access to SilTerra," he told the New Straits Times (NST) and Berita Harian in an interview recently.

Offline Sailor

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Re: DNEX 4456. Potential to be Malaysia's Tech Giant if it takes over SilTerra
« Reply #1 on: December 29, 2020, 06:53:38 AM »
Me tell you,do buisness in Malaysia very difficult
now do buisness wth foreigner more difficult unless
related to C-19 and gamin not much money to spend.
These ppl want us to add share px value from our money,
cannot one.
Dont caya caya all those news larr.🙃
Sail away from the safe harbour,Catch the trade winds in your sails,Dream,Explore,Discover  ®One does not discover new lands without consenting to loose sight of the shore for very long time©

Offline Raging bull

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Re: DNEX 4456. Potential to be Malaysia's Tech Giant if it takes over SilTerra
« Reply #2 on: December 29, 2020, 09:42:40 AM »
a birthday cake: Sources said DNeX and consortium partner Beijing CGP Investment Co Ltd, in their updated bid presented to Khazanah Nasional Bhd, planned to invest nearly RM1 billion in the troubled government-owned semiconductor firm by 2023.
© Provided by New Straits Times Sources said DNeX and consortium partner Beijing CGP Investment Co…
KUALA LUMPUR: Dagang NeXchange Bhd has outlined short, medium and long-term plans to transform SilTerra Malaysia Sdn Bhd under its updated takeover plans.

Sources said DNeX and consortium partner Beijing CGP Investment Co Ltd, in their updated bid presented to Khazanah Nasional Bhd, planned to invest nearly RM1 billion in the troubled government-owned semiconductor firm by 2023.

The companies would first focus on business, financial and operational turnaround of SilTerra over 24 months, they added.

Over the medium term of two to five years, the DNeX-Beijing CGP consortium will encourage interest in electrical and electronics (E&E) and semiconductor sectors via a RM150 million innovation fund.

The consortium will also form a strategic partnership with national applied research and development centre Mimos Bhd to invigorate interest in the semiconductor and E&E sectors.

The partnership will allow SilTerra to focus on its commercial fabrication activities while Mimos can focus its strength as industry enabler in the areas of R&D and tech development, engineering, experimental FAB and small scale production.

The long-term plan of up to 10 years will entail efforts to position SilTerra as the nation's Unicorn and to leverage on its unique's position to build semiconductor industry eco-system witn the help of Beijing CGP and its limited partners' network of semiconductor companies.

"SilTerra can be Malaysia's US$1 billion Unicorn for technology companies by 2025. With production achieving near designed capacity for SilTerra's FAB-1 of 40,000 wafers per month (wpm) and FAB-1E of up to 10,000 wpm, revenue can increase to US$300 million with a net profit of US$75 million at a valuation at US$1.5 billion," a source said.

The New Straits Times previously reported that Khazanah had received four bids for SilTerra including from Taiwan's Foxconn and Germany's X-FAB Silicon Foundries before the earlier deadline for submission on July 31, which was later extended to October 9.

The other two were DNeX and Green Packet Bhd.

The initial proposal from DNeX and Beijing CGP was focused on planning and executing SilTerra's turnaround with a total investment of RM846 million.

The sources said the consortium would immediately inject new capital of RM200 million to upgrade SilTerra's plant and equipment to remove single point of failures, as well replace equipment which require high downtime maintenance and for working capital.

An additional RM300 million of new capital is in the pipeline after year three to further increase SilTerra's capacity to serve expanding market when business condition improves.

Together with a RM260 million cash consideration to Khazanah and RM210 million to assume SilTerra's borrowings as at December 31 2019, DNeX and its strategic will potentially invest RM970 million by 2023.

"The DNeX-Beijing CGP proposal is expected to bring significant socio-economic impact to the development of semiconductor industry in Malaysia," the source said.

DNeX's 60 per cent stake in the consortium represented the highest Malaysian and Bumiputra equity content compared to other bidders, ensuring that SilTerra remain in the local hands, the source added.

© New Straits Times Press (M) Bhd

Offline Raging bull

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Re: DNEX 4456. Potential to be Malaysia's Tech Giant if it takes over SilTerra
« Reply #3 on: December 29, 2020, 09:58:21 AM »
Due to the trade war with USA, Malaysia can benefit from chip manufacturing if Silterra sold.

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Re: DNEX 4456. Potential to be Malaysia's Tech Giant if it takes over SilTerra
« Reply #4 on: December 29, 2020, 03:16:29 PM »
CYBERJAYA: Dagang NeXchange Bhd (DNeX) is upbeat about exploring new growth area in semiconductor with the bidding for SilTerra Malaysia Sdn Bhd (SilTerra).

 Group managing director Datuk Seri Syed Zainal Abidin Syed Mohamed Tahir said DNeX would want to be given the opportunity to turn around the semiconductor manufacturer.

 "We do have the turnaround expertise as we have managed to turn around Time Engineering Bhd, the old company of DNeX.

 "We also partner with Beijing CGP Investment Co Ltd (Beijing CGP) that is willing to provide transfer of technology and ready market access to SilTerra," he told the New Straits Times (NST) and Berita Harian in an interview recently.

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 He said this would be vital as DNeX has the track record and capability with the partnership to turnaround SilTerra.

 "We also want the bidding process to be based on merit including its contribution to the National Agenda – we believe we have the right partner, technology and market access. We have been working closely with the government to present our case.

 "At the end of the day, it is up to Khazanah Nasional Bhd (the owner of SilTerra) to decide. We believe the board of Khazanah will make the right decision.

 "We hope Khazanah considers us as a Bumiputera company with the capability and the right partner that can offer technology and market access as well as injection of funding. God willing, in the next two to three years, we plan to create more job opportunities and technology coming out with Malaysia," he said.

 Syed Zainal said DNeX had secured Beijing CGP's support and commitment to help SilTerra have access to the right technology as well as the global market.

 "If we get the opportunity to acquire SilTerra, Beijing CGP will be able to open new market for SilTerra and new opportunities for the company to export to other parts of Beijing CGP's network.

 "We need to have the right partner to open the network in the semiconductor industry. Beijing CGP already has a consortium of companies not only in China but globally as well," he said, adding that SilTerra would have access to this partnership with DNeX.

 Syed Zainal said DNeX would also bring its partners and expertise to strengthen SilTerra's board and management with industry and international experience to streamline the organisation to be more business focused, productive and efficient comparable to industry tier 1 players.

 The DNeX-Beijing CGP consortium is also bringing in investee companies to Malaysia to support the development of Malaysia-owned semiconductor eco-system through an innovation fund to be set up by DNeX that will help locals design and manufacture local products for the international market including China.

 NST previously reported that Khazanah had received four bids for SilTerra including from Taiwan's Foxconn and Germany's X-FAB Silicon Foundries before the earlier deadline for submission on July 31.

The other two were DNeX and Green Packet Bhd.

  The proposal from DNeX and its strategic partner Beijing CGP was focused on planning and executing SilTerra's turnaround with a total investment of RM846 million, according to a source.

 On top of a RM136 million cash payment for Khazanah, DNeX and its partner would absorb SilTerra's RM210 million bank borrowings, and inject a total of RM500 million for its capital and operating expenditures.

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Re: DNEX 4456. Potential to be Malaysia's Tech Giant if it takes over SilTerra
« Reply #5 on: December 30, 2020, 11:05:29 AM »
2021 world chip shortage. DNex will benefit most if take over Silterra