Kingboard sells stake in subsidiary to ramp up PCB capacity
Kingboard Holdings has sold a 4.92% stake in its laminates subsidiary, Kingboard Laminates Holdings, raising net proceeds of approximately HKD 11.8 billion – roughly EUR 1.4 billion. The capital is earmarked for PCB capacity expansion and multi-layer and HDI capabilities.
Citigroup and Merrill Lynch acted as joint placing agents for the transaction, which covered 155 million shares at HKD 76.0 each – an 11.5% discount to the prior closing price but a premium to recent trading averages. The deal closed on 22 June, according to a filing with the Hong Kong Stock Exchange.
Kingboard's stake in Kingboard Laminates falls from roughly 66.62% to 61.70%, though the unit remains consolidated into Kingboard's accounts. Proceeds will be used for investments in the company's PCB business to enhance its capabilities in multi-layer and HDI products, expand production capacity to fulfil increasing market demand, while also accelerate R&D and debt repayment.
"Collectively, these investments will reinforce our competitive advantage and strengthen our position as a globally recognized, vertically integrated provider of electronic materials," the company said in the filing.
Kingboard Laminates is one of the world's largest producers of copper-clad laminates – a material category under significant pressure in 2026 as AI-driven demand for advanced PCB capacity has outpaced supply. PCB prices surged as much as 40% in a single month earlier this year, according to Reuters, and industry observers have described the current situation as a structural reset rather than a temporary disruption.
