Lite-On camera module business was established 15 years, the products are mainly used in mobile phones, tablet PCs and laptops, customers in Europe, the United States and Asia, the global mobile device brand customers major suppliers, but in recent years, the mainland Sunny Optical, Qiu Titanium and other modules plant rise, coupled with the mainland smart phone brands gradually occupy a place in the world, so that the camera module competition, Lite Branch consider business development needs, coupled with the camera module business group for many years so loss, so although the camera In view of the booming demand for mobile devices in the global market and its rapid growth, the module maker still decided to sell this business unit to Lijing Innovative Company to provide resources for the further development of the camera module business.
Lite-On Technologies today held a temporary board of directors to transfer its business of camera module division to Legislative Innovation Co., Ltd. by way of business concession. The business involved is the business and assets of camera module division, including inventory, machinery and equipment, Staffing team, technology and IP, customer supplier relationships and product warranties The consideration for this transaction is tentatively set at $ 360 million in cash, plus the right to acquire 10% of Equity Ventures' innovative shares, which will be delivered It is estimated that the approval of the competent authorities will be completed in the second quarter of 2018.
Chen Guangzhong said that due to fierce competition in the camera module, consider the development of enterprises, the resolution will be the mobile phone, PC and tablet-related camera module division for sale in the future Lite Branch camera lens module products will be automotive lenses, AR, VR and other high Product-based, this transaction will have a positive impact on the operation of Lite-On Group.
Lite-On emphasized that the Group continued to focus on new business development, cloud computing, LED components and outdoor / automotive lighting, automotive electronics, smart medical and industrial automation and other areas of transformation; while strengthening the core technology and operational competitiveness, the development of more efficient Operation and profit model to further enhance the long-term interests of shareholders, customers and employees.
In addition, Lite-On also said that the company judged that the transaction had no significant impact on the financial operations of the Company. Upon the completion of the actual transaction, it will handle the announcement in accordance with the relevant laws and regulations.