TAIPEI plans to more than triple its investment in fledgling aerospace company Taiwan Aerospace Corp (TAC).
The Cabinet will invest an additional NT$1.2 billion (about HK$356 million) in the company through its Executive Yuan Development Fund, according to Lin Ming Teh, the fund's executive director.
He said State-run development bank Chiao Tung Bank would invest $250 million in the venture, which was formed in 1991 to spearhead an effort to promote Taiwan as a regional aerospace centre.
The move would increase the government's stake in the company from 29 to 35 per cent, Mr Lin said.
The development fund has previously invested $314 million in TAC, and Chiao Tung Bank has invested $65 million.
The Economic Daily News said more than 10 companies were planning to invest a further $3.4 billion in TAC.