Powerchip Technology, a major Taiwan-based DRAM maker, has decided to cancel plans to sell up to 800 million new shares in the form of global depositary receipts (GDR), the Economic Daily News (EDN) reported on November 23.

Citing price fluctuation of DRAM and market uncertainties, Powerchip said that now is not the time to conduct a fundraiser, according to the paper. The paper also quoted company spokesperson Eric Tan as indicating the cancellation of the planned GDR issue should not have any impact on the Powerchip's NT$16 billion budget for 2011 capex.

Powerchip chairman Frank Huang in an earlier report said that the company would seek to issue new shares new shares and GDRs by resubmitting an application that had been previously turned down by Taiwan's Financial Supervision Commission (FSC). But Huang did not specify any time-frame.

Powerchip's share price closed at NT$5.65 Monday (November 22), down from NT$5.81 on November 19.