Posted on Friday, April 03 2009 @ 0:00 CEST by Thomas De Maesschalck
Toshiba announced it will acquire Panasonic's 40 percent stake in Toshiba Matsushita Display Technology Co., an unprofitable LCD joint venture, for about two billion yen (approx. $20 million). The deal is expected to go through on April 28, and the company's name will be changed to Toshiba Mobile Display Co:
The companies said Toshiba will acquire Panasonic's shares on April 28 and then change the business's name to Toshiba Mobile Display Co. By making the company a wholly owned subsidiary of Toshiba, the business can implement restructuring measures more quickly, Toshiba said.
The venture, currently known as Toshiba Matsushita Display Technology Co., is the second-largest manufacturer of small and medium-size LCD screens, with a 10% market share, according to research firm DisplaySearch. Sharp Corp. is the market leader with a 20% share.
Struggling with falling prices of LCD screens and weak demand, the venture expects to post a loss of 30 billion yen on sales of 270 billion yen in its fiscal year ended March 31.
Source: WSJ
