On December 27th, Azure announced that its controlling subsidiary, Huai'an Aucksun Optoelectronics Technology Co., Ltd. (hereinafter referred to as Aucksun), plans to dispose of old and idle MOCVD equipment.
At present, Aucksun and Takamatsu Electronics have signed a Second hand Equipment Sales Contract. The total contract price including tax for the 52 MOCVD machines disposed of this time is 20.8 million yuan. The batch of 52 second-hand equipment was packaged and sold together. Takamatsu Electronics has evaluated the batch of second-hand equipment and fully understood its status, performance, and quality. Aucksun does not provide quality assurance for this batch of second-hand equipment.
Azure pointed out that the assets disposed of this time are the epitaxial wafer production equipment (MOCVD) purchased by Aucksun, which is old and currently idle. The original value of the equipment is 38.82960 million yuan, with a cumulative provision for depreciation of 25.14808 million yuan and a provision for impairment of 12.5667 million yuan. The net book value is 124.2484 million yuan.
It is understood that in recent years, with breakthroughs in LED technology and changes in application trends, Azure has formulated and firmly implemented the strategic decision of "high-end products and high-end market route". It has successfully transformed from the initial ordinary lighting field to the main application fields of backlight and high light efficiency, and formed a highly competitive mid to high end product system such as high light efficiency backlight (mobile phone/TV), plant lighting, LED headlights, large-sized flip and MiniLED. At the same time, relying on the upgrade of the product system, the company's customer structure has been continuously optimized, shifting from relatively single customers in the early stage to comprehensive strategic cooperation with frontline customers in South Korea and China.
The product performance brought by new customers needs to be matched with new process technologies, which have higher requirements for equipment stability and consistency. Azure stated that in order to better develop high-end products such as Mini LED and plant lighting, and meet customer needs, the company has gradually purchased new equipment with better performance in 2021. The single chamber production capacity of the new equipment is about 5 times that of the disposal equipment, and the production efficiency is greatly improved compared to the disposal equipment. The above advantages of new equipment play a significant role in improving production efficiency.
Therefore, Azure believes that the assets disposed of this time are the epitaxial wafer production equipment purchased by Aucksun in the early stage, which has been used for many years and is old. With the continuous updating and replacement of equipment, it no longer has the economic feasibility of continuing large-scale production and use. Currently, it is in an idle state, and the disposal of the above-mentioned idle equipment does not affect the normal production of the company. (organized by LEDinside)
