Taiwan-based metal chassis maker Catcher Technology is reportedly in talks with Malaysia-based medical equipment suppliers for cooperation, and may choose Malaysia as its regional factory site for healthcare applications.
Catcher chairman Hong Shui-Shu directly oversees the company's medical projects, which mainly target production of high-end expendable medical supplies for minimally invasive surgery.
Having just sold one of its factories in Taizhou, China for NT$42 billion (US$1.5 billion) this August, Hong said they are turning the divestment into investment in medical supplies and automobiles. Hong, who was a doctor at a Taiwan hospital, is leading the company into the high-end medical supply market through his former expertise and network.
Industry sources indicated that Catcher recently received orders from Tesla, and the company plans to expand its product mix horizontally to stimulate revenue growth.
However, certification for manufacturing medical supply takes at least five years. Catcher's strategies are to approach existing suppliers in Southeast Asia to accelerate the process.
Sources indicated that Catcher is evaluating the feasibility of basing in India as well, but the company has not made any comments on the matter.
Catcher said its ultimate goal is to increase gross margin. For its existing notebook business, the company is looking for new opportunities with a higher gross margin for the long term. The company started supplying gaming products this year.
The company's gross margin has been rising since the second half of last year and reached 31.97% in the second quarter this year.
During the pandemic, Taiwanese medical suppliers received significant orders that were transferred from Europe. Single-use medical supplies also become indispensable following the pandemic.
Besides spending a total of NT$3 billion in setting up a 100%-owned medical tech company Ko-ren, Catcher has obtained 4.2% shares of Bioteque with NT$316 million through another subsidiary Ko-yao.