Sony Sells LCD Panel Joint Venture Shares to Samsung

From DailyTech: After some talk early last month about shaking up its LCD business unit, Sony has finally reached and signed agreements with Samsung in an effort to save its failing LCD TV branch.

Sony has been in the LCD TV business for eight years, and has had eight years of losses in a row. After realizing that this sinking ship was not producing (and likely will not produce) any annual profits, Sony began negotiating with Samsung on a buyout of its 50 percent manufacturing stake in their LCD joint venture, S-LCD Corporation, which was established in April 2004.

Now, Sony and Samsung have announced that they've signed agreements to change up their current S-LCD business relationship.

According to the agreements, Samsung will acquire all of Sony's S-LCD shares, which will make S-LCD a complete subsidiary of Samsung. Samsung will pay Sony approximately KRW 1.08 trillion ($939 million USD) for these shares.

In addition, both Sony and Samsung have reached a strategic agreement that allows for the purchase and supply of LCD panel efforts both competitively and cooperatively.

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