Moral Chance Asia Limited Invests Additional US$25 million in Changzhou Hi-Tech District

CHANGZHOU, China, Aug. 6 /PRNewswire-Asia/ -- Moral Chance Asia Limited ("MORAL") has recently signed two investment agreements with the Administrative Committee of Changzhou National Hi-tech District (CND). Under terms of the agreements, MORAL will increase the registered capital of its Changzhou Vimic Electronic Equipment Co., Ltd. to US$20 million and pour US$5 million for producing insulating components. With the new funds, the total investment for Vimic Electronic Equipment Co., Ltd. has risen to US$49 million. Upon going into operation, the annual sales of the two projects are expected to reach RMB1.2 billion (approx. US$177 million).

Hong Kong-based Moral Chance Asia Limited is an integrated modern multinational corporation engaged in commerce, investment, trade, energy and real estate sectors, with branches in Hong Kong, the United States, Singapore, Australia and New Zealand. Changzhou Vimic Electronic Equipment Co., Ltd., set up by MORAL in CND in March this year, is a wholly foreign-owned company mainly engaged in manufacturing of telecommunication transmission, signal switching and application terminal devices as well as IT peripheral supporting equipment and system integration.

MORAL has recently increased the total input of Changzhou Vimic Electronic Equipment Co., Ltd. to US$49 million, in consideration of the latest industry layout adjustments, especially the Changzhou government's transparent and feasible service systems for CND. MORAL changed the production mode of renting standard factory buildings to build facilities on the 66,667 square-meter land acquired. The initial floor space of the facilities is 20,000 square meters. Upon completion of the construction, the project will be capable of producing 1 million units of communications equipment, including cross connecting cabinets for optical cable, server racks, power management systems and cabinets used in integrated communications equipment; 500,000 units of switching equipment centered on fiber transceivers, fiber single/multi-mode converters, network extenders, protocol converters, decoder converters and hub converter; 200,000 application television units; 2 million computer peripherals and computer system integration services. The project is expected to realize annual sales of RMB1 billion (approx. US$148 million) once fully operational.

In addition, MORAL is also planning a US$10 million investment for a new wholly-owned company with registered capital of US$5 million in the Zone. The new company will produce insulating components for the high-voltage electrical equipment sector and deliver annual sales of over RMB200 million (approx. US$30 million) once operational.

SOURCE Changzhou National Hi-Tech District