Unity Opto, Genesis Garner Lucrative Orders From Mainland China

Taipei, Dec. 2, 2011 (CENS)--Unity Opto Technology Co., Ltd. and Genesis Photonics Inc. said they have recently signed agreements to provide mainland China's buyers with sizable number of LED lights and begun delivering the orders this quarter.

Unity executives said some of the mainland's top retailers have recently designated it to supply them LED light bulbs on a contract basis, while Genesis said it has entered into alliance with IT retailer Potevio Co. to drum up business and won several one-year contracts for LED light tubes and commercial lights.

According to Taiwan's industry executives, mainland China's lighting retailers have begun building up inventories of LED lights in preparation for Beijing's timetable for incandescent bulb ban in accordance with its energy-conservation policy.

As most of the mainland's retailers that have signed contracts with Unity have a multitude of stores across the mainland, the contracts are estimated to return Unity with considerable revenue. These retailers include Hoyar Electrical Co., Ltd., a Potevio subsidiary.

Epi-wafer maker Formosa Epitaxy Inc. (FOREPI) is also estimated to benefit from the contracts to Unity since it is a close ally of Unity.

Genesis executives estimated its contract with Petovio to push up the company's monthly sales in the fourth quarter and become the major growth drivers of the company's sales for 2012.

According to the contract, Petovio will supply energy management contract service to the mainland's hotel and provide retail chains with Genesis LED lighting futures. Genesis estimated the contract to contribute NT$500-600 million (US$16.6-20 million at US$1: NT$30) to its revenue in 2012.