Neo-Neo Shifts Market Attention to Taiwan

Taipei, April 30, 2008 (CENS)--LED-lighting maker Neo-Neo Holdings Ltd., which is listed in Hong Kong, recently bought an office building in a luxury district in Taipei for NT$140 million (US$4.6 million at US$1:NT$30) as part of its plan to tap Taiwan market.

Upbeat about Taiwan's economy after the March 22 presidential election, the world's No.1 decorative-lighting maker recently decided to develop strong presence in Taiwan's lighting market.

The company was founded in 1979 in mainland China by a Taiwanese named B.H. Fan and has a branch on the island. Its Taiwan branch has set sales goal for this year at NT$200 million (US$6.6 million). It entered into the LED segment seven years ago.

Randy Cheng, general manager of the company's Taiwan branch, pointed out that the company was confident of its sales in Taiwan thanks to its advantages including less-expensive production costs and complete range of product lines.

Industry watchers point out the company has sharpened its core competence in LED-lighting segment by setting up integrated manufacturing capability covering epitaxy-wafer, packaging and application-product productions. Cheng stressed that his company's another edge is quickly commercializing LED products.

To achieve the sales goal, the company has started verifying its products for energy-saving and quality performances in Taiwan, according to Cheng. He noted that his company would tap all segments of Taiwan's LED-lighting market including Christmas lighting, commercial lighting, household lighting and public-work lighting projects.

Cheng said his company had worked out a strategy for Taiwan market: tapping household and commercial markets in initial stage and, afterwards, outdoor lighting market.

The company began shipping LED streetlights last year to mainland China and the Netherlands in small volume. The lights used chips from Epistar Corp of Taiwan. Executives of the company's Taiwan branch pointed out the company's unique thermal-dissipation solution for LED streetlight had enabled it to win the orders.

Neo-Neo is reported to be the world's No.1 supplier of LED decorative lamps and mini lamps, with its mini lamps accounting for 50% of the global market. Also, it is the largest supplier of stage lights in Asia and employees nearly 20,000 workers in mainland China. Its revenue for 2007 is estimated at US$200 million.

The company's determination to shoot for commercial-lighting market was shown at the Hong Kong International Lighting Fair 2007, where the company displayed lamps giving off 3,300 lumens at 50 watts.