Taiwan-based Winbond Electronics, a manufacturer of specialty DRAM and NOR flash memory, expects to start constructing its new 12-inch wafer plant at the Kaohsiung Science Park (KSP), southern Taiwan in the fourth quarter of 2018, with total expenditures estimated at about NT$20.36 billion (US$662 million).

The board of Winbond has approved a capital appropriation in the amount of NT$20.367 billion for the new 12-inch plant establishment. The company plans to spend about NT$19.56 billion on the fab construction and NT$807.2 million on related R&D equipment purchases.

Winbond disclosed the planned production capacity at its new 12-inch plant is initially set at 285,000 wafers per month. The company expects to begin pilot operations at the fab in 2020.

Winbond also has plans to expand production capacity at its Taichung, central Taiwan plant to 54,000 wafers monthly in early 2019 from the current 44,000 units.

Winbond saw its net profits surge to a 17-year high of NT$2.155 billion in the second quarter of 2018. EPS for the quarter came to NT$0.54.