WT Microelectronics (3036 TT; WT) and Nichidenbo Corporation (3090 TT; Nichidenbo) respectively held board meetings on July 15, 2025, during which resolutions were passed to deepen the strategic partnership between the two companies through a share swap in accordance with Article 156-3 of the Company Act. Both parties will subscribe to newly issued shares from each other through capital increases. The share swap ratio is approximately 1 share of Nichidenbo’s common stock for 0.668 shares of WT’s common stock. Upon completion, WT—together with its previously held 31,000,000 common shares of Nichidenbo—will hold approximately 36% of total common shares in Nichidenbo. Similarly, Nichidenbo—together with its previously held 11,000,000 common shares of WT —will hold approximately 5% total common shares in WT. Both parties will continue to operate independently.
WT is a global leading electronic components distributor, while Nichidenbo is the largest passive components distributor in Taiwan. The overlap in business and product lines between the two companies is minimal. The share swap will further deepen the strategic partnership between WT and Nichidenbo. Through the partnership, WT will expand its footprint in the passive components market, while Nichidenbo will further leverage WT’s experience in operation improvement and integration as well as extensive global customer base to strengthen its market position.
By joining forces in the passive components market, both companies will be able to better service their customers and suppliers globally, enhance their operational performance, and create greater value for their shareholders.
