Samsung may spin off money-losing LCD business

Home > Business > Industry

print dictionary print

Samsung may spin off money-losing LCD business


Samsung Electronics said yesterday it is considering spinning off its LCD business, a move seen as aiming to beef up its competitiveness.

“The company is mulling spinning off the LCD business, but details have not been decided,” Samsung Electronics said in a regulatory filing.

Analysts said that the move came as its LCD business suffered from losses for the fourth consecutive quarter in the final quarter of last year amid industry-wide slumps.

Market watchers said the potential spin-off is raising the chance it may merge with Samsung Electronics’ organic light-emitting diode (OLED) display-making unit Samsung Mobile Display.

Samsung Mobile Display is a 50-50 percent joint venture with Samsung Electronics and its affiliate Samsung SDI. The company mainly produces OLED displays for mobile devices such as smartphones.

Previously, market watchers expected Samsung Electronics to absorb Samsung Mobile Display, but Wednesday’s filing backs up a possibility that its LCD business is likely to merge with Samsung Mobile Display, according to analysts.

“If Samsung Mobile Display’s mainstay business is combined with the LCD business, synergy in the display panel business is likely to increase,” said Koo Ja-woo, an analyst at Kyobo Securities. Yonhap

More in Industry

Big business recoils at new legal legislation

Hyundai Mobis has developed a hydrogen-powered forklift

Asiana adapts passenger plane to carry more cargo

Eastar Jet CEO threatens to sue pilot union for libel

Chaebol heads talk shop at closed-door dinner

Log in to Twitter or Facebook account to connect
with the Korea JoongAng Daily
help-image Social comment?
lock icon

To write comments, please log in to one of the accounts.

Standards Board Policy (0/250자)

What’s Popular Now