Following Sanan Optoelectronics, another LED company, A-share, Dehao Runda [17.50 0.00%] (002005, closing price of 17.50 yuan) also had a big move. The company, which currently focuses on downstream packaging and applications, announced on July 17 that it will spend 2.3 billion yuan to purchase 130 MOCVD equipment!

Insiders pointed out that this not only means that the company has really intervened in the core epitaxial film segment of the industry chain, and in the future, the company's LED production capacity is expected to go hand in hand with the industry leader Sanan Optoelectronics.

Panic buying LED production equipment

Dehao Runda announced that the company has purchased a total of 130 MOCVD equipment, the total price of which does not exceed 2.292 billion yuan, and the purchased equipment will be placed in the LED industry bases of Anhui Wuhu and Jiangsu Yangzhou in the future.

Among them, Wuhu Dehao Runda Optoelectronics Technology Co., Ltd., a wholly-owned subsidiary, will purchase 100 MOCVD and accessory equipments from Veeco and Aixtron in Germany, and another wholly-owned subsidiary, Yangzhou Dehao Runda Optoelectronics Co., Ltd. Veeco USA purchased 30 MOCVD machines.

Dehao Runda's shot is a big deal, and the total price of 2.3 billion yuan is not a small amount. The company said it will use the project funds, its own funds, apply for government subsidies and commercial bank loans to raise funds for this equipment purchase. Researchers in the industry said that the LED industry has been booming since last year, and downstream companies have expanded their production. As a key production equipment, the MOCVD machine is quite tight, so Dehao Runda has to set 130 units at a time.

Dou Linping, deputy secretary-general of China Lighting Association, said in the middle of last month that the current domestic purchase of MOCVD orders has been scheduled for three years. Veeco, one of the world's MOCVD equipment suppliers, predicted in the first quarter of this year that the demand for MOCVD equipment in 2010 is expected to be around 400 to 500 units. But this year, A-share LED leader Sanan Optoelectronics has announced the addition of 107 MOCVD machines; and South Korea and Taiwan's major LED manufacturers will also expand the number of MOCVD equipment this year, currently more than 250; plus this The purchase of MOCVD machines in the Asia Pacific region alone has reached nearly 500 units.

Into the upstream epitaxial wafer production

Yesterday afternoon, the reporter called Dehao Runda to understand the details of the transaction. The company’s securities affairs representative Zhang Xinyu said that it is limited to signing a confidentiality agreement with the two major equipment manufacturers, and cannot disclose the equipment specifications to the outside world, so 130 machines will let The large-scale production capacity of the company is not easy to disclose.

However, an analyst said that investors can use Sanan Optoelectronics as a reference. As of the end of last year, Sanan Optoelectronics had 22 MOCVD equipments; this year, the company announced several announcements and will purchase 107 new equipment. The analyst told the Daily Economic News reporter that Sanan Optoelectronics planned to install 200 MOCVD equipment at the Wuhu LED Base. The first phase of 100 targets has been completed. Judging from the production capacity of the two upstream equipment factories, it is unlikely that Sanan Optoelectronics will sign equipment orders for the rest of the year. Considering that the equipment needs to be installed and debugged after it arrives at the factory, the LED production capacity of Dehao Runda is expected to be comparable to Sanan Optoelectronics in the future.

It is worth noting that Dehao Runda's purchase of MOCVD equipment means that the company is formally involved in the production of epitaxial wafers in the upstream core of LED. Yesterday, Zhang Xinyu told reporters that the company launched a non-public offering last year and announced that its focus will be on the LED field in the future, but the future products of the Wuhu base do not include the most core and highest-value epitaxial wafers in the entire industry chain; Into the MOCVD equipment because the company reached a cooperation with South Korea's EPIVALLEY company at the beginning of this year, Dehao Runda won the epitaxial wafer production technology, and the epitaxial wafers produced by the two bases in Wuhu and Yangzhou will be mainly supplied to the company's chips for personal use.

Although Dehao Runda has not implemented additional issuance, Zhang Xinyu revealed that at present, the construction of the pre-production plant has been carried out in Wuhu, and a small part of the packaging has entered production. However, he also stressed to reporters that the Wuhu fundraising project is not expected to contribute to the listed companies this year.