ChipMOS ANNOUNCES NT$350 MILLION SHARE REPURCHASE PROGRAM

Rhea-AI Summary

ChipMOS Technologies (IMOS) has announced a share repurchase program worth NT$350 million (approximately US$10.7 million). The company plans to repurchase up to 10 million shares from the Taiwan Stock Exchange open market, representing about 1.38% of its issued share capital.

The repurchase will be conducted between January 22 and March 21, 2025, with a price range of NT$21.18 to NT$35.00 per share. The buyback will proceed even if the stock price falls below this range. Chairman and President S.J. Cheng stated that this decision aligns with their capital allocation strategy and reflects their belief that shares are currently undervalued, representing a compelling investment opportunity.

Positive

• Authorization to repurchase shares worth NT$350 million (US$10.7 million)
• Buyback represents 1.38% of issued share capital, potentially increasing shareholder value
• Management's confidence in company's financial performance and growth prospects
• Flexible buyback terms allowing purchases below minimum price range

Negative

• Significant cash outlay of NT$350 million reducing available capital for operations or investments

News Market Reaction

+2.63%

1 alert

+2.63% News Effect

On the day this news was published, IMOS gained 2.63%, reflecting a moderate positive market reaction.

Data tracked by StockTitan Argus on the day of publication.

HSINCHU, Jan. 21, 2025 /PRNewswire-FirstCall/ -- ChipMOS TECHNOLOGIES INC. ("ChipMOS" or the "Company") (Taiwan Stock Exchange: 8150 and Nasdaq: IMOS), an industry leading provider of outsourced semiconductor assembly and test services ("OSAT"), today announced that its Board of Directors has authorized a share repurchase program with the total amount up to NT$350 million (approximately US$10.7 million, based on the exchange rate of NT$32.79 to US$1.00 as of December 31, 2024).

Under the program, the company will repurchase up to 10,000,000 shares from the open market on the Taiwan Stock Exchange, representing approximately 1.38% of its issued share capital. The shares will be repurchased within a price range of NT$21.18 to NT$35.00 per share, while the buyback will still be carried out if the stock price falls lower than the aforementioned range. The authorization repurchase program period is from January 22 to March 21, 2025.

S.J. Cheng, Chairman and President of ChipMOS, said, "Our latest repurchase authorization is inline with our capital allocation strategy and directly reflects our view that our shares are undervalued and represent a highly compelling investment opportunity. We remain confident in our financial performance, and focused on the strategic initiatives that will help drive our continued growth and leadership success, as we work to build long-term shareholder value."

About ChipMOS TECHNOLOGIES INC.:

ChipMOS TECHNOLOGIES INC. ("ChipMOS" or the "Company") (Taiwan Stock Exchange: 8150 and Nasdaq: IMOS) (www.chipmos.com) is an industry leading provider of outsourced semiconductor assembly and test services. With advanced facilities in Hsinchu Science Park, Hsinchu Industrial Park and Southern Taiwan Science Park in Taiwan, ChipMOS is known for its track record of excellence and history of innovation. The Company provides end-to-end assembly and test services to leading fabless semiconductor companies, integrated device manufacturers and independent semiconductor foundries serving virtually all end markets worldwide.

Forward-Looking Statements:

This press release may contain certain forward-looking statements. These forward-looking statements may be identified by words such as 'believes,' 'expects,' 'anticipates,' 'projects,' 'intends,' 'should,' 'seeks,' 'estimates,' 'future' or similar expressions or by discussion of, among other things, strategies, goals, plans or intentions. These statements may include financial projections and estimates and their underlying assumptions, statements regarding plans, objectives and expectations with respect to future operations, products and services, and statements regarding future performance. Actual results may differ materially in the future from those reflected in forward-looking statements contained in this document, due to various factors. Further information regarding these risks, uncertainties and other factors are included in the Company's most recent Annual Report on Form 20-F filed with the U.S. Securities and Exchange Commission (the "SEC") and in the Company's other filings with the SEC.

Contacts:

In Taiwan Jesse Huang ChipMOS TECHNOLOGIES INC. +886-6-5052388 ext. 7715 IR@chipmos.com

In the U.S. David Pasquale Global IR Partners +1-914-337-8801 dpasquale@globalirpartners.com

 

View original content:https://www.prnewswire.com/news-releases/chipmos-announces-nt350-million-share-repurchase-program-302355807.html

SOURCE ChipMOS TECHNOLOGIES INC.

FAQ

What is the size of ChipMOS (IMOS) share repurchase program announced in January 2025?

ChipMOS announced a share repurchase program worth NT$350 million (approximately US$10.7 million) to buy back up to 10 million shares.

What is the price range for IMOS share buyback program in 2025?

The share repurchase price range is set between NT$21.18 to NT$35.00 per share, with purchases allowed even if prices fall below this range.

What percentage of ChipMOS (IMOS) shares will be repurchased in the 2025 buyback?

The repurchase program targets up to 10 million shares, representing approximately 1.38% of ChipMOS's issued share capital.

When will the IMOS share repurchase program be executed?

The share repurchase program will be executed from January 22 to March 21, 2025.

Where will ChipMOS (IMOS) conduct its 2025 share buyback?

ChipMOS will repurchase shares from the open market on the Taiwan Stock Exchange.