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This morning Scanfill announced that it is planning to double production capacity in its factory in Suzhou, China. The expansion relates to increasing customer demand throughout the year, and Scanfil is seeing signs that demand will also remain on a high level for the coming years. According to the company, the possible investment in the expansion amounts to EUR 6m. Construction work is estimated to kick off in 2022 and we believe completion will take place in 2023. The current factory facility has approximately 17,000 m², of which approximately 10,000 m² is dedicated to production and warehouse. The potential investment increases production and warehouse area by around 11,000 m², but will not initially include production lines. We believe this investment facilitates 2-3% additional annual revenue growth after 2022.
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