【Lien Fa】Announcement of Cash Reduction and Stock Exchange Plan

Q: What are the key facts in this article?

Lien Fa Fiber Co., Ltd. is implementing a cash reduction and stock exchange to adjust its capital structure and enhance shareholder returns. Related operations have been approved and the plan has been established.

Q: What is the direct answer?

Lien Fa Fiber Co., Ltd. is implementing a cash reduction and stock exchange to adjust its capital structure and enhance shareholder returns. Related operations have been approved and the plan has been established.

Q: What is the source and date?

Source: https://mops.twse.com.tw/material/twse-1459-2026-06-23-965f24c1 | Date: Date unavailable

1. Board Resolution Date: NA 2. Reduction Basis Date: 115/06/11 3. Cash Reduction and Stock Exchange Plan: The company aims to adjust its capital structure and enhance shareholder returns by reducing cash and returning share capital to shareholders. This plan was approved at the shareholders' meeting on May 12, 2026, and has received approval from the Taiwan Stock Exchange and the Ministry of Economic Affairs. Details of the related operations for this cash reduction and stock exchange are as follows: I. Details of the securities to be exchanged, the number of shares, the par value per share, and the total amount: (a) Name of the securities to be exchanged: Common shares of Lien Fa Fiber Co., Ltd. (b) Total number of shares to be exchanged: Including all shares issued in previous years, totaling 358,628,907 common shares, with a par value of NT$10 per share, amounting to NT$3,586,289,070. (c) Total number and amount of shares to be reduced: This time, 89,657,227 issued shares will be canceled, reducing the capital by NT$896,572,270. (d) Reduction ratio: According to Article 168 of the Company Act, the reduction ratio is 25%, meaning that for every 1,000 original common shares, 250 shares will be reduced, resulting in 750 shares being exchanged. (e) Amount of cash to be returned per share: NT$2.5 per share will be returned in cash, rounded down to the nearest dollar. (f) Total number and amount of shares after reduction: After the reduction, 268,971,680 shares will be issued, with a par value of NT$10 per share, and the total paid-in capital will be NT$2,689,716,800. (g) For this cash reduction and stock exchange, new shares will be issued based on the shareholding records of each shareholder as of the 'Cash Reduction and Stock Exchange Basis Date'. For every 1,000 shares, 250 shares will be reduced (resulting in 750 new shares being exchanged). Shareholders can apply for the consolidation of fractional shares that are less than one share with the company's share age

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