San’an Opto Expands Production Capacity with New MOCVD Equipment

San’an Opto’s plans of installing another 50 MOCVD equipment was approved by the company board on Dec. 11, 2014, according to several Chinese media reports.

The top Chinese LED manufacturer will be installing a total of 200 MOCVDs through two phase investments, with production capacity estimations based on 2-inch 54 PCS. To acquire market advantages, the company board approved wholly owned subsidiary Xiamen San’an Opto investment in 50 Veeco MOCVD equipment. The two companies have signed a procurement agreement.

Under the agreement, Xiamen San’an Opto commissioned Xiamen Xindeco to acquire 50 Veeco EPIK700 MOCVDs that totaled US $133 million. The equipment will be delivered from December 2014 to August 2015, but the exact timetable will depend on Xiamen San’an Opto’s construction. Each equipment will paid in three instalments, for instance first 30%, then 60% and then the remaining 10%.

According to understanding, Xiamen San’an Opto purchased 50 MOCVDs from AIXTRON on Sept. 26, 2014, which totaled US $130 million.

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