Investment Banking Department
Securities’ Investment Banking Department has won a reputation for excellence in securities underwriting over the years. Our professional team is equipped with both practical experience and industry analysis ability. Our practitioners are proficient in laws/regulations that govern the review of securities listings with extensive experience and high-quality operation. Our submission has a high rate of passing. Capital Securities assists clients to connect various business opportunities and provide corporate clients with all-rounded investment banking services required at different stages, such as business planning and fundraising. Our services are as follows:
- 1Assisting companies with IPO and listings on TPEx and TWSE
- 2Listing of overseas companies on TWSE and TPEx
- 3Planning and issuing of SPO, CB and preferred shares in Taiwan
- 4Planning and issuing of overseas securities for fundraising
- 5Corporate M&A and restructuring, sale, equity planning, value assessment and privatization of state-owned enterprises
Capital Securities has actively acted as a bridge of communication between foreign institutional investors and enterprises over the past three years. Capital Securities held two overseas roadshows per year in 2018 and 2019. Despite of the impact of COVID-19, Capital Securities still held two online roadshows in 2020. These roadshows successfully boosted enterprises’ publicity and trading volume.
IPO businessCapital Securities’ Investment Banking Department aims to form stable and long-term partnerships with our clients. In response to new concepts and regulatory amendments introduced in Taiwan, our Investment Banking Department is dedicated to assisting clients with listing-related applications and guiding them to success in the capital market. Regarding the domestic IPO business, Capital Securities’ Investment Banking Department and CSC Venture Capital have effectively integrated the Group’s resources and successfully assisted many domestic companies with IPO and their listings on TPEx and TWSE. Capital Securities’ bellwether IPOs were as follows:
- 1In 2020, Capital Securities was the leading underwriter of Pan German Universal Motors’ listing on TWSE. Pan German Universal Motors is Taiwan’s largest dealer of imported luxury cars. Its agency brands include BMW, MINI and Porsche. With over 40 years of professional experience in Taiwan’s imported luxury auto market, Pan German Universal Motors serves Taiwan’s upscale consumers via its comprehensive sales and aftersales operation networks.
- 2In 2020, Capital Securities was the leading underwriter of Galaxy Software Services’ listing on TPEx. Galaxy Software Services focuses on software architecture, software design, software development and software implementation consulting advisory services. With over 30 years of experience in R&D of electronization applications and solutions for enterprises and organizations, Galaxy Software Services has achieved proprietary development of process electronization and innovative application systems, introduction of enterprise IT software performance solutions, automated operations mechanism and tools, information security solutions and development of application-specific systems and software in response to clients’ operational needs. Galaxy Software Services has over 2,000 financial service, government, hospital, manufacturing, textile and service-sector clients.
- 3In 2018, Capital Securities was the leading underwriter of Team Group’s listing on TWSE. As a global memory brand, Team Group developed luminous gaming RGB memory that won several international awards, such as iF Product Design Award in Germany, Good Design Award in Japan, COMPUTEX d&i awards and Taiwan Excellence Award in Taiwan.
- 4In 2017, Capital Securities was the leading underwriter of Promate Solutions’ listing on TPEx. As a total solution provider of IPC for specialized applications, Promate Solutions is engaged in R&D, manufacturing, sale and aftersales service of embedded control system and display touch module for specialized applications.
- 5In 2016, Capital Securities was the leading underwriter of Syngen Biotech’s, Nyquest’s and Shenghua Entertainment Communication’s listings on TPEx. Syngen Biotech produces, sells and trades microorganism API. Nyquest is a professional vendor of consumer voice IC. Shenghua Entertainment Communication is the first listed video/entertainment firm in Taiwan’s culture and creative industries.
SPO businessIn response to internationalization and diversification of fundraising channels and strategies of corporate financial operations, Capital Securities’ Investment Banking Department provides companies listed on TWSE and TPEx with comprehensive and high-quality corporate financial planning/SPO services based on a wealth of professional experience. Capital Securities’ business scope covers the following: (a) providing overall capital demand planning to companies listed on TWSE and TPEx; (b) seeking best fundraising opportunities and SPO models for clients; (c) designing and marketing fundraising products; (d) effectively assisting enterprises to complete their SPO planning; (e) enhancing enterprises’ overall operations. Capital Securities’ bellwether SPOs in recent years were as follows:
- 1In 2020, fostering positive client relations, Capital Securities was the leading underwriter of Team Group’s and Promate Electronic’s convertible bonds. Capital Securities was the leading underwriter of Team Group’s listing on TWSE. Promate Electronic is the parent company of Promate Solutions, which was listed on TPEx with Capital Securities as the leading underwriter. Team Group raised NTD560mn. Promate Electronic raised NTD1.01bn. In addition to strengthening both companies’ operational resources, these convertible bonds provided steady investor targets and excellent returns to our channel customers. Additionally, Capital Securities assisted Century Iron & Steel Industrial’s fundraising for the second time. The company raised NTD1.5bn through convertible bond for loan repayment. In addition to reducing its interest expense, Century Iron & Steel Industrial continues to invest in its offshore wind turbine foundation business in coordination with international trends and government policies in order to promote the green energy industry. Moreover, Capital Securities was the leading underwriter of Lemtech’s convertible bond, which raised NTD700mn. In addition to new orders, Lemtech’s financial strength enhanced further. Furthermore, Capital Securities assisted with Soonest Express’ first SPO after its listing on TPEx. Due to COVID-19 in 2020, the demand for transportation of goods increased. After obtaining sufficient capital, Soonest Express’ operational performance was further catalyzed.
- 2In 2019, Capital Securities was the leading underwriter of Laster Tech’s SPO, which is a maker of professional automotive LED modules. This SPO is expected to help Laster Tech with operational planning. Capital Securities assisted TaiSol Electronics to issue convertible bond of NTD303mn in 2019, enabling TaiSol Electronics to follow the 5G trend and strengthen its competitive advantages. De Licacy Industrial, which is a manufacturer specializing in developing high-functional textiles, has clients encompassing European/American outdoor functional/sports brands. De Licacy Industrial repaid its loans, replenished its operating capital, reduced its interest expense and increased its earnings through this SPO. Capital Securities was the leading underwriter of Syngen Biotech’s listing on TPEx. Syngen Biotech has excellent technology and quality in health food manufacturing. Via SPO and expansion of plant facilities, Syngen Biotech’s revenue/earnings momentum continues to improve.
- 3In 2018, Capital Securities was the leading underwriter of Century Iron & Steel Industrial’s SPO. Century Iron & Steel Industrial’s listing on TWSE was assisted by Capital Securities. Capital Securities’ Investment Banking Department has been in charge of the company’s fundraising following its listing. Century Iron & Steel Industrial develops offshore wind turbine foundation. The company raised NTD2.2bn, which exceeded its paid-in capital, through convertible bond and new shares via SPO. Capital Securities provides long-term support to Century Iron & Steel Industrial, which is a core client. Capital Securities assists Century Iron & Steel Industrial with industry upgrade and expansion of operating scale. Capital Securities was also the leading underwriter of Taisol Electronics’ listing on TWSE. Catalyzed by handset, communications and 5G trend, Taisol Electronics raised NTD300mn in capital to strengthen its financial structure and solidify its foundation of competitiveness. Taisol Electronics’ shareholders and employees were able to subscribe for shares and enjoy investment gains derived from the company’s booming business. Capital Securities’ Investment Banking Department has effectively acted as a bridge in the capital market. Ching Feng Home Fashions, which is a leading manufacturer of curtain in Taiwan, has cultivated the curtain industry for over 40 years. Capital Securities’ Investment Banking Department assisted Ching Feng Home Fashions with SPO planning and issuance of new shares. Despite fundraising for the first time in years, Ching Feng Home Fashions successfully raised the capital needed for its future operation growth, attracting the market’s attention. In addition to strengthening its capital structure, this SPO enhanced the company’s interaction with investors and promoted the company, boosting its publicity and market capitalization.
- 4In 2017, Capital Securities was the leading underwriter of ATE Energy International’s and Chime Ball Technology’s SPOs. Chime Ball Technology is a vendor of PCB exposure machine. Its listing on TPEx was assisted by Capital Securities’ Investment Banking Department. Capital Securities was the leading underwriter of Chime Ball’s first convertible bond issuance in 2015 in Taiwan. Afterwards, Capital Securities further assisted Chime Ball’s issuance of new shares before Chime Ball acquired a 100% stake in Bao Hong SEMI Technology, which was a provider of semiconductor repair/overhaul solutions and semiconductor components. Hence, Chime Ball was able to tap into the semiconductor industry by leveraging Bao Hong SEMI Technology’s excellent team. Equipped with the core technology of power plant engineering, ATE Energy International has already completed over 10 engineering projects related to power plant in the Philippines. Moreover, ATE Energy International commands over 70% share in the market of sea water cooling system in the Philippines. This company replenished its operating capital through this SPO to enhance its long-term competitiveness. ATE Energy International continues to cultivate the niche market.
- 5In 2016, Capital Securities was the leading underwriter of Easywell Biomedical’s SPO and Posiflex Technology’s convertible bond issuance. Easywell Biomedical issued its convertible bond for the first time in Taiwan and raised around NTD500mn in combination with SPO. Easywell Biomedical has persistently developed difficult generic drugs and new drugs with new formulations while investing itself in regenerative medicine. Following the company’s capital increase in 2013, Capital Securities again assisted Easywell Biomedical with raising capital for setting up laboratory and replenishing operating capital to accelerate drug development, thereby enhancing Taiwanese biotech team’s strength and competitiveness. Posiflex’s raised over NTD1.7bn by issuing the second convertible bond in Taiwan and SPO. Capital Securities’ Investment Banking Department was the leading underwriter of Posiflex’s SPO in 2014. Extending the solid relationship between Capital Securities and Posiflex, both companies cooperated again in 2016. Posiflex’s capital demand was derived from transnational M&A. Capital Securities was committed to satisfying the client’s needs with professionalism and confidentiality.
ESB businessIn 2002, Capital Securities actively cooperated with the competent authority’s deployment of the ESB market and established the ESB Division. The ESB Division’s business scopes include the following: (a) operating the price-bargaining platform of stocks listed on ESB; (b) contacting recommended companies with related businesses. Capital Securities’ ESB Division was established to achieve the following: (a) deploying comprehensive product lines; (b) offering high value-added services; (c) offering professional research resources. Therefore, Capital Securities has become the major market maker in Taiwan’s ESB market. After the ESB Division was founded, Capital Securities has surpassed its peers via the following: (a) setting up the ESB section; (b) offering abundant research information for companies listed on the ESB market; (c) self-developing “Strategy King”, which is an online ESB trading system. Capital Securities has been devoted to providing investors with a more legitimate, safer and more transparent trading platform of stocks listed on ESB. Capital Securities has persistently facilitated the diversification of sectors on ESB to offer investors more choices. Capital Securities enjoys a leading position in the ESB market. As an investment bank, Capital Securities has integrated issuance and trading to strengthen its services to enterprises and establish an information platform for investors. The trading value on ESB reached NTD16,623,906,851 as of November 2020, making it one of the top six markets.