Aapico Hitech Plc. to JV with Lemtech Group to establish new factory in Rojana Industrial Park, Ayutthaya

SET-listed auto-parts maker, Aapico Hitech Plc. is pleased to announce that it has formed a joint venture company in Thailand with Lemtech Holdings Co., Ltd., a listed company in Taiwan. The issued share capital of this new JV company, Aapico Lemtech (Thailand) Co. Ltd, is Baht 40 million with Aapico Hitech Plc. and Lemtech Holdings Co., Ltd. having 60:40 shareholdings respectively.

The JV Company will be principally engaged in the development, manufacture, assembly, sales of automotive, electronic and computer parts in Thailand and overseas. The factory for these products will be established soon in the Rojana Industrial Park in Ayutthaya province. The factory will provide new employment for up to 50 workers and engineers. Some customers in Thailand and Taiwan have provided intentions to purchase certain products from the JV Company upon its establishment.

Lemtech Holdings Co., Ltd. designs, manufactures and distributes precision metal stamping components and hardware molds. The Company develops metals for consumer electronics, auto parts, and building materials. The Lemtech Group has a major factory established in Kunshan, China and R&D centers in both Taiwan and Kunshan. Its major customers include Autoliv, Fujikura, Tostem, Compal, Cisco and Google. The new factory in Thailand will be Lemtech Group’s first manufacturing operation outside of China and Taiwan.

This Aapico-Lemtech JV in Thailand represents the first major Thai-Taiwanese collaboration in the automotive components industry in Thailand. It provides also an important development of the Aapico Hitech’s growth business strategy. Aapico’s key interest for this JVC is to tap the high skill of Lemtech in design and manufacture of precision progressive dies. Upon establishment of the JV Company, Aapico Hitech will be able to enhance its automotive technology in component manufacturing, diversify its product range to customers, gain synergy with a competent and successful Taiwanese manufacturer and extend the opportunity to market the new products in the ASEAN markets.

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