Grand Canyon to liquidate smart lighting business

The LED industry's market conditions this year have been poor. Grand Canyon's operations are even more heavily focused on the Chinese mainland market. Since last year, operations have been significantly suppressed. Having incurred losses in both last year and the first three quarters of this year, the company has decided to liquidate its new ventures entering the lighting market to stop operational bleeding and escape the worst current situation.

Grand Canyon stated that the company's main reason for losses this year stems from its investment in smart lighting new ventures in 2021, which was impacted by pandemic lockdown policies in mainland China. With liquidation proceedings initiated this year, operations next year will be unaffected.

The company also pointed out that to integrate group resources, reduce management costs, and improve operational management efficiency, the Canyon intends to proceed with dissolution and liquidation of StrongLED Smart Lighting (Cayman) Co., Ltd., the British Cayman Islands-registered Grand Canyon Smart Lighting System Co., Ltd. Taiwan Branch, and Changjiang Delta Integration Demonstration Zone (Suzhou Wujiang) Grand Canyon Lighting Technology Co., Ltd.

Grand Canyon's past operations have primarily focused on the mainland China market. Regarding future operational outlook, the company stated that it will expand into the Taiwan region market, pursue strategic cooperation with industry peers to complement product lines. Partners will focus on Europe and indoor markets in the future, while Grand Canyon will concentrate on outdoor and mainland China markets, enhancing the market visibility of the "StrongLED Grand Canyon" brand and continuously expanding international trade markets.

大峡谷今年前3季营业收入4.66亿元（新台币，下同）年减39.2%，营业毛利1.04亿元，年减47.4%，毛利率22.4%，年减3.5%，前3季净损1.2亿元，累计前3季每股净损3.13元，相较去年同期的每股亏损0.66元，亏损扩大。

Source: Taiwan Economic Daily