(Yicai) March 28 -- Shares of WG Tech, a leading Chinese company in the photoelectric glass finishing of flat panel displays, rose after it set out plans to invest CNY500 million (USD69 million) building a plant that will use its new technology to process active-matrix organic light-emitting diode displays.

WG Tech’s shares [SHA: 603773] closed 3.8 percent higher at CNY28.95 (USD4) each in Shanghai today, after earlier jumping by as much as 6.9 percent.

The new plant, to be built in the southwestern city of Chengdu, will have the capacity to process up to 24,000 finished AMOLED displays per month, the Xinyu-based company announced late yesterday. It should be ready by 2026.

The factory will be the first to use WG Tech’s new and exclusive etching-cutting-ink technology to process glass substrates for medium and large-sized displays. The technology makes the products more durable and lowers the production cost, per the company.

WG Tech makes materials used in displays for electronic devices such as smartphones and tablets. In 2022, it glass business had revenue of  CNY576 million (USD79.7 million), making up 41 percent of the total. That for its display business tallied CNY491 million, accounting for 35 percent.

Editor: Emmi Laine