Asustek Computer's board of directors on March 18 decided to invest US$50 million to establish a subsidiary, tentatively named Asustek Computer (China), in either Chengdu City or Chongqing City, western China, as its second operational headquarters in the China market, according to the company.

Asustek will announce its selection between the two cities by the end of April 2011, the company indicated.

The board also approved the cancellation of 10 million treasury stocks effective on March 21, with paid-in capita to be downsized by 1.59% to NT$6.17 billion (US$209 million).