ACES signs NT$3.5 billion syndicated loan agreement

ACES (3605) announced the completion of a five-year NT$3.5 billion joint credit facility with 10 financial institutions, including Yuanta Bank, and held the signing ceremony this morning.

The funds from this syndicated loan will primarily be used to repay financial debts and enhance mid-term operational liquidity. Yuanta Bank served as the lead arranger and managing bank. Initially targeted at NT$3 billion, the offering received enthusiastic participation from 10 financial institutions including Mega Bank, Agricultural Bank, Hua Nan Bank, Chang Hwa Bank, Bank of Shanghai, Yuanta Bank, Cooperative Bank, Taishin Bank, and Cathay United Bank, committing a total of NT$4.65 billion, with an oversubscription rate of 155%. The final signing amount settled at NT$3.5 billion. This syndicated loan integrates ESG goals such as energy conservation and reduction of greenhouse gas emissions, offering corresponding interest rate discounts. It marks the company's first syndicated loan linking to ESG indicators, injecting more momentum into its sustainable operations.

ACES, now entering its 27th year since establishment, spans the "I (industrial control industry), C (cloud network communication), A (automotive electronics), N (laptop and consumer electronics)" markets, collectively termed the ICAN market. Over the past few years, it has strengthened its product line and expanded market areas through mergers and acquisitions, transitioning into a provider of comprehensive solutions for precision electronic components. In preparation for the next decade and global shifts, ACES continues to expand its investment in Taiwan, enlarging its operational headquarters in Taoyuan. The "Hongzhi R&D Headquarters Building Expansion Project" was initiated in April 2022, with the new plant scheduled to be completed in mid-2024. Concurrently, collaborating with the Industrial Technology Research Institute to establish a "high-speed R&D manufacturing base," focusing on the development of niche areas, such as high-speed computing connectivity solutions for data centers, cloud computing, edge computing, and servers. Products include high-speed signal connectors, high-end board-to-board, wire-to-board, ultra-fine coaxial cables, wireless RF connectors, as well as various types of mini and high-speed internal and external connection cable assemblies, aiming to strengthen its product line for greater growth momentum.

In the future, ACES will continue to pursue technological breakthroughs and improvements in products, services, quality, and capacity through integrated services. Simultaneously, it will maintain an active role in demonstrating corporate social responsibility, seeking recognition and trust from domestic and international customers, and tirelessly promoting the Hongzhi brand for mutual prosperity.

Photograph of Chairman Yuan Wanding of Hongzhi Electronics (left) and General Manager Lin Longzheng of Yuanta Bank at the signing ceremony

Finally, we express our sincere gratitude to all gentlemen and ladies for their long-standing support.

Wishing you all the best!

ACES Co., Ltd. Spokesperson and Deputy General Manager of Finance, Shuyun Lee Acting Spokesperson and Group General Manager, Richard Yang Phone: +886 3 463 2808 Email: ir@acesconn.com Company website: www.acesconn.com