Taiwanese LED manufacturer Tailon announced it will undergo capital reduction, as part of its effort to halt financial bleeding, restructure finances, and improve its financial operations.

The company intends to reduce capital amounting to NT $1.22 billion (US $37.51 million), and is still awaiting for approval from related government institutions to ensure the application meets financial regulations.

Following the capital reduction, nearly 90% of the vendor’s paid in capital would have evaporated leaving a mere NT $139.01 million.

The Taiwanese vendor that manufactures LED light bar, LED backlight module, and transformer incurred heavy losses in 2016.

In 2015, the company’s net value was NT$ 112 million, and its share value has soared 882.93% from NT $0.82 per share to NT$8.06. This financial development is expected to stabilize its financial structure, and benefit its future developments.