TW Biz News｜WK 12/23 - 12/29

Every week, we'll select Taiwan's five business news from the previous week for your review.

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• 〔Focus Taiwan〕SinoPac Financial to acquire King's Town Bank for almost NT$60 billion

Taipei, Dec. 28 (CNA) SinoPac Financial Holding Co. has agreed to acquire King's Town Bank in a cash-stock swap deal for almost NT$60 billion (US$1.83 billion) to take the bank completely under its corporate umbrella. SinoPac Financial and King's Town Bank held their individual board meetings on Friday to approve the acquisition deal in which the financial holding firm will use NT$26.75 in cash and 1.15 common shares to buy one King's Town Bank share, with the acquisition value to hit NT$59.9 billion. Cash will account for 50 percent of the total acquisition.

• 〔Focus Taiwan〕TSMC to start construction of 4th, 5th fabs in Kaohsiung next year

Taipei, Dec. 28 (CNA) Taiwan Semiconductor Manufacturing Co. (TSMC), the world's largest contract chipmaker, plans to begin construction of its 4th and 5th wafer fabs in the southern Taiwanese city Kaohsiung next year, targeting development of high-end processes. The two facilities -- P4 and P5 -- are part of TSMC's production expansion program which aims to build five fabs in Kaohsiung.

• 〔Taiwan News〕Taiwan labor minister confirms Jan 1 minimum wage hike

TAIPEI (Taiwan News) – On Jan. 1, the monthly minimum wage will rise 4.08% to NT$28,590 (US$874) from NT$27,470, Labor Minister Hung Sun-han (洪申翰) said Wednesday. In addition, the hourly minimum wage will increase from NT$183 to NT$190, the Ministry of Labor (MOL) said at a year-end news conference. A total of 2.57 million workers are likely to benefit from the measures, said the MOL.

• 〔Taiwan News〕Taiwan decides on route for High Speed Rail southern extension

TAIPEI (Taiwan News) – The Taiwan High Speed Rail southern extension to Pingtung will pass through Kaohsiung Railway Station, Premier Cho Jung-tai (卓榮泰) said Saturday. The 40-kilometer route between Zuoying Station and Pingtung City will boost economic development in the area, he added. Several tracks had been looked at, with considerations such as disruption caused by construction work and the potential danger of nearby chemical plants.

• 〔Taiwan Plus〕Analysis: Taiwan's Stock Market Outperformed All Others in Asia in 2024

Taiwan's main stock index, the Taiex, gained nearly 30% in 2024, outperforming all other Asian markets. TaiwanPlus spoke with Natixis economist Gary Ng about how AI fueled Taiwan's corporate growth and his outlook for 2025.