The sales are expected to result in an investment income of NT$3.12 billion for Acer, based on Foxconns closing price of NT$119.50 and BenQs closing price of NT$36.70 on the TAIEX yesterday.
Acer said that the goal of selling the shares is to increase its profitability in the second half of this year, as its first half net profits accounted for just 32.7% of its 2004 projection.
Acer may release its holdings from Foxconns GDR (global depositary receipt) issue and sell BenQs shares on the TAIEX and to some designated investors, according to market sources.
Acer currently holds a total of 190 million shares, or a 15% stake, in BenQ. After its planned sell off, Acers stake in BenQ will be lowered to 5%. Stan Shih, chairman of Acer, said earlier that he personally will take up a portion of BenQ shares released from Acer to help stabilize BenQs management.