【News】Nanya Technology Faces NT$47.68 Million Massive Settlement Default! 11th Listed Company Case This Year – Memory Sector Hit Hardest

The Taiwan Stock Exchange announced on the evening of the 30th that DRAM manufacturer Nanya Technology (2408) incurred a massive settlement default, with a total amount reaching NT$47.68 million, reported by 12 brokerage branches. This is the 11th listed company case this year to meet disclosure thresholds, though not a historical record for the Taiwan stock market.

According to exchange data, the default corresponds to trading on July 28 under the T+2 settlement system. On that day, the Taiwan stock market plunged 2,030.83 points (down 4.65%), marking the third-largest single-day closing drop in history. Nanya Technology’s share price hit the daily lower limit at NT$392.5.

Brokerages reporting the default include CTBC, Fubon Kaohsiung, Cathay Kaohsiung, Pocket, Cathay New Taipei, Cathay Dunwu, Yuanta Securities, Federal Sanchong, Taishin Xinyi, Fubon Securities, Cathay Taichung, and Cathay Dunan branches.

The exchange also disclosed that the total amount of investor buy and sell settlement defaults reported by brokers on that day was approximately NT$192 million, with a relatively low net amount after offsetting. Overall market settlement order remains stable.

The memory sector emerged as the hardest-hit group. The sharp market decline on July 28 was driven by U.S. chip stock corrections, South Korea’s stock plunge triggering circuit breakers, and news of China’s semiconductor equipment localization, which collectively undermined market confidence. Memory stocks—including Nanya Technology, Winbond, and Macronix—faced concentrated selling pressure, with multiple stocks hitting the daily lower limit.

Analysts noted that amid recent market turbulence, some investors used margin trading or day trading to leverage high-priced stocks. The sudden plunge on July 28 led to insufficient settlement funds, resulting in defaults. The fact that multiple brokerage branches reported Nanya Technology’s case simultaneously suggests a dispersed impact rather than a single investor’s massive default.

Settlement default cases have surged this year due to intense market volatility. Combined listed and over-the-counter markets have seen around 22 such cases. Nanya Technology is the 11th listed company case, following others including Macronix, Chabipqi, Shinyi, Unimicron, Walsin Lihwa, Yageo (with three incidents), AU Optronics, and Holtek Semiconductor.

However, NT$47.68 million is not the highest amount. Notable larger defaults this year include Chabipqi (6197), which recorded a single default of NT$149 million in June; Kingway (8358, OTC), which hit NT$110 million in April (an OTC market record); Walsin Lihwa at around NT$85.74 million; and Yageo, which has had three settlement defaults since June.

Institutions warn investors to strictly manage funds and positions when engaging in day trading or margin trading, especially in high-volatility markets. Ensuring sufficient settlement account balances is critical to avoid damaging personal credit records due to failure to fulfill obligations.

After hitting the lower limit on July 28, Nanya Technology’s share price continued to fall to NT$353.5 on the 29th and faced further downward pressure on the 30th. The memory sector remains sensitive in the short term to global semiconductor stock trends and supply outlooks, with the market closely watching subsequent settlement data and foreign investor movements.