By Tien Yu-pin and Frances Huang, Focus Taiwan

Taipei, May 1 (CNA) FocalTech Corp., a Cayman Islands-registered integrated circuit designer, has filed an application with the Taiwan Stock Exchange (TWSE) for a primary listing, the exchange said Wednesday.

The IC designer is the second foreign company to seek a listing on the main board so far this year, after Chlitina Holding Ltd., a China-based skin care service provider that filed an application in mid-April, the TWSE said.

FocalTech, capitalized at NT$464 million (US$15.68 million), is planning to issue 8 million new shares for the listing and reserve up to 15 percent for its employees, according to its prospectus.

With an issue price set tentatively at NT$225, FocalTech said, it is aiming to raise NT$1.8 billion from the new share sale.

It said the funds raised from the listing will be used as working capital and to repay its debts and thus improve its financial situation.

After paying down its loans, its debt-to-asset ratio will drop this year to 20.35 percent from 29.28 percent in 2012, FocalTech said.

Chinatrust Securities and Fubon Securities are serving as the underwriters of FocalTech’s listing.

Currently, FocalTech has two major operating bases in Taiwan and China, with 155 employees, more than 62 percent of whom are working in research and development.

FocalTech, which specializes in the development of capacitive touch controller ICs and TFT LCD display driver ICs, has secured orders from smartphone, tablet computer and notebook computer vendors in Taiwan, China, the United States, Japan and South Korea, the TWSE said.

Its clients include Lenovo, ZTE, Coolpad and Xiaomi of China, and U.S.-based Barnes & Noble, the exchange said.

In 2012, FocalTech posted NT$1.78 billion in net profit or NT$38.57 in earnings per share, up from NT$486.99 million in net profit or NT$11.42 per share in 2011.

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