Fulltech Secures Funds for Fiber Glass Yarn Expansion

After securing funding of NT$4.6 billion (US$151.3 million), Fulltech Fiber Glass has begun construction of a second fiber glass yarn plant with production slated to begin in 2010.

Fulltech secured the fund mainly via a private placement and bank loan. Construction at the yarn plant (its second) in Taichung started in late June. Fulltech aims to achieve an annual glass yarn capacity of 46,000 metric tons with production slated to begin in the first quarter of 2010. In addition to this plant, Fulltech has a plant located at Yunlin, Taiwan, which has an annual capacity of 36,000 metric tons.
 

Fulltech noted that gross margins for high-end glass yarn for industrial applications and electronics is good with strong demand stemming from aerospace, wind power, heat-insulation materials for construction and sports equipment. The company also aims to maintain its economy of scale via the expansion.