Thailand company Submicron Technology Plc hopes to be able to continue construction of its long-stalled wafer fabrication plant, saying that because of the upturn in the international semiconductor market it is sure creditors will provide new loans.
Positive initial talks indicated that the 20bn baht ($540m) project would proceed, according to company sources who said that chief executive Charn Uswachoke has convinced creditors that the global semiconductor business will rebound by the
middle of next year.
Submicron Technology was founded in 1991 by Charn, with 23 local financial institutions lending a total of 19bn baht ($513m). After the company was listed, a recession and depreciation of the baht forced the abandonment of a planned public share offer, and when the plant was 80% complete, creditors suspended loans.
The sources said progress is being made in attracting foreign partners to provide technology and possibly capital. There will be another meeting between Charn and the creditors in mid-October.
