Chipbond Technology, a major Taiwan-based LCD driver IC packaging and testing house, expects December 2010 revenues to grow sequentially after having seen on-month drops over the previous four months.

Chipbond said demand for large-size LCD panels has begun to rebound after a weak third quarter. The company saw third-quarter shipments for chip-on-film (COF), which is mostly used for LCD TV applications, slip 23% from the previous quarter.

However, shipments to the small-size panel segment have been dragged down by slow white-box handset sales in the fourth quarter, Chipbond said. In the third quarter, shipments for chip-on-glass (COG) packaging increased 7% sequentially, the company added.

In addition, Chipbond estimated its sales performance for the first quarter of 2011 will outperform that for the fourth quarter. Customers have begun to replenish their inventories in preparation for the Lunar New Year, said Chipbond, adding that revenues are expected to see sequential growth in the first quarter.

Chipbond registered NT$1.025 billion (US$34.4 million) in November revenues, down 5.5% on month. Revenues from January through November totaled NT$11.51 billion, soaring 143.9% from the same period of 2009.

In other news, an application by Chipbond to take up a majority stake in China-based Chipmore Technology has been approved by the Investment Commission of Taiwan's Ministry of Economic Affairs (MOEA), which monitors Taiwan investment in China. Chipbond plans to acquire 33 million of Chipmore's shares for US$2.575 per share, to bring its stake in the China-based affiliate to 64% from the current 16.6%.

Headquartered in Suzhou, Chipmore now has monthly capacity of 40,000 wafers for gold bumping, and 4.5 million units for COF packaging.