DNeX group managing director Tan Sri Syed Zainal Abidin Syed Mohamed Tahir
KUALA LUMPUR: Dagang Nexchange Bhd
(DNeX) plans to build a new 12-inch wafer fabrication facility in Malaysia in a joint effort with Hon Hai Precision Industry Co Ltd (or Foxconn) remain in progress.
Group managing director Tan Sri Syed Zainal Abidin Syed Mohamed Tahir said discussions are ongoing with the relevant stakeholders including the Malaysian government for this purpose.
“The 12-inch wafer fab will be the first of its kind in Malaysia, and second in South East Asia after Singapore. The fab’s 28nm node is a long-life Tier One Technology node with the most advanced technology under the planar transistor technology that will have the widest range of applications,” he said in a statement.
In the fourth quarter ended June 30, 2022 (4Q), Dnex posted a net profit of RM160.59mil on revenue of RM430.29mil, mainly supported by a robust contribution from the technology and energy segments.
There is no comparative figures as there had been a change in the financial year end from Dec 31 to June 30.
For the financial year 2022, DNeX said it generated a strong net cashflow from operating activities amounting to RM643.8mil.
Its balance sheet remains solid with total cash of RM1.02bil while total loans and borrowings stood at RM319.3mil as at Jun 30, 2022.
“We are pleased to announce a remarkable achievement for the FY22, a record-breaking financial performance of the group with a profit after tax of RM707.3mil and revenue of RM1.44bil," he said.
Syed Zainal said transformation efforts at SilTerra have led to a strong turnaround in the group’s financial performance, supported by higher average selling prices (ASP) achieved and operational improvements recorded in terms of production output, quality control and manufacturing efficiency.
Meanwhile, DNexXformed a joint venture company with Saudi Arabia-based Ajlan & Bros Holding Group to explore and identify opportunities in driving economic growth in high-value areas such as digital, cloud, and the fourth industrial revolution (4IR) in the kingdom and the Middle East and North Africa markets.
DNeX has also signed a memorandum of understanding (MoU) with Ajlan & Bros to explore the establishment of a packaging and assembly plant in KSA as well as potential participation by the Saudi-based group in Dnex’s plan to build and equip a brand new 12-inch semiconductor fab in Malaysia.
The MoU will also look at forming a joint-venture agreement for both parties to leverage their strengths and contribute financial resources while enhancing technical capabilities and client relationships to support the formation and growth.
