Luxshare Technology: After the company's silicon carbide substrate industrialization project, it will produce 88,000 pieces per year

On July 29, Luxshow Technology disclosed information about a recent investor survey activity, in which the company introduced various business situations, silicon carbide layout, and investment plans for non-public offering projects.

According to the data, Luxshow Technology is mainly engaged in the production and sales of enameled wire, electromechanical, sapphire, new energy vehicles and photovoltaic businesses. In 2019, Sunyu Technology's photovoltaic power generation business developed rapidly, and its traditional industries were stable. However, due to the historical burden of the photovoltaic power station EPC business caused by the resolution of energy vehicle business and photovoltaic policy changes, the company achieved a small profit in 2019, and the company will develop more healthily in the future.

In 2019, the company completed a major asset restructuring and successfully merged the high-quality power station power generation business of Shunyu Clean Energy Technology Co., Ltd. into the listed company. Lushow Technology said: "During the reporting period, Shunyu Clean Energy achieved a net profit of 220,545,941.06 yuan, becoming the company's new profit core. In the future, the company will continue to steadily advance its photovoltaic power station power generation business."

According to the company, in 2019, the company's traditional manufacturing industries such as enameled wire and motors continued to develop steadily. In order to avoid the impact of the Sino-US trade conflict and expand the Southeast Asian market, the company took the lead among domestic enterprises to invest in the construction of Vietnam Lutong Electromechanical Co., Ltd. in Nhon Trach County, Dong Nai Province, producing series-excited motors, permanent magnet DC motors, brushless motors, etc., to meet the requirements of well-known customers such as Black & Decker Power Tools, Bosch Power Tools, and Supor Electric Appliances, and seek new profit growth.

In addition, in order to meet the needs of the company's sustainable development and develop the company's strategic emerging industries with new technologies and new products, the company has successfully developed silicon carbide crystal growth equipment with the support of its original sapphire production technology. The company plans to use the funds raised from this private placement of shares mainly to invest in the production of silicon carbide crystal materials and R&D centers. The company will continue to focus on the third-generation semiconductor crystal industry, expand the application of silicon carbide in 5G GaN-on-SiC HEMT, SiC SBD, SiC MOSFET, SiC IGBT and other component chips, and produce 4-6 inch semi-insulating wafers and 4H crystal N-type conductive silicon carbide substrate wafers and other products.

In addition, regarding the investment of this non-public offering project, Luxshow Technology said that the total investment of this project is 694.56 million yuan, and it plans to use 650 million yuan of raised funds. This project mainly adopts silicon carbide sublimation crystal growth process and SiC substrate processing technology, purchases 4-inch high-purity semi-insulating crystal growth furnace, 6-inch conductive crystal growth furnace, multi-wire cutting machine, polishing machine and other advanced equipment, and produces 6-inch 4-HN type silicon carbide substrate sheet and 4-inch 4-H semi-insulating silicon carbide substrate sheet.

It is reported that after the completion of the project, Luxshow Technology will have an annual production capacity of 88,000 silicon carbide substrate sheets. The products will have large size, wider bandgap, higher breakdown electric field, higher thermal conductivity, greater electron saturation and higher radiation resistance.