Select a Region...
Asia
Europe
Emerging
Americas
Get our newsletter
Top News
Mon, 2 Nov 1998, 9:49pm EST
Hyundai Electronics to Split Off Chip Business to Help Lure Investment
Seoul, Nov. 3 (Bloomberg) -- Hyundai Electronics Industries
Co., one of South Korea's three largest electronics makers, said
it will separate its semiconductor business from its other
businesses to make it easier to attract foreign investment.
''Making Hyundai Electronics into two different companies
will end foreign investors' worries that money may flow into
businesses they don't want to invest in,'' said Hyundai spokesman
Lee Kwang Seok.
The move comes as Hyundai Electronics is negotiating with
Siemens AG, Germany's largest electronics and engineering
company, which has expressed interest in the Korean company's
$750 million mobile phone handset business.
The Korean company needs foreign investment to help it
reduce its debts, which are valued at about nine times its
equity, Lee said.
Hyundai Electronics also makes liquid crystal displays and
electronic switching and other telecommunications systems.
The company, part of the country's largest industrial group,
has already agreed to merge its semiconductor business with that
of Korean rival LG Semicon Co., though the two companies are
still battling over who will control the joint venture.
|
