- M&A signed, contract to go into effect in December

- KRW 260 billion proposed, speeding up management normalization process

November 21, 2007 (Icheon, Gyeonggi)…TFT-LCD manufacturer BOE HYDIS (CEO Haesung Park, www.boehydis.com) recently named Taiwan-based Prime View Consortium as the preferred bidder for the corporate sell out.

Samil PricewaterhouseCoopers and Bae and Kim & Lee LLC organized the deal, and an MOU was signed between BOE HYDIS and Prime View Consortium on November 21, 2007. 

Prime View Consortium consists of Taiwan-based TFT-LCD manufacturer Prime View International, and Hong-Kong-based ALCO Holdings and Varitronix International. Prime View International holds 78 percent of the Consortium’s equity, while ALCO Holdings and Varitronix International hold 11 percent each. 

The acquisition price is proposed at KRW 260 billion, equivalent to USD 285 million. Approximately 60 percent of the proposed price, or KRW 156 billion, will be used to increase paid-in capital and acquire new shares, while the remaining 40 percent, or KRW 140 billion, will be used to take over newly issued corporate bonds.

Successful finalization of the M&A will contribute to speeding up the management normalization process by decreasing the debt and improving BOE HYDIS’s financial structure. The deal also will secure supply for the rising small- and medium-sized TFT-LCD market which includes mobile phones, car displays, and portable digital devices.

Following due diligence by the selected preferred bidder, BOE HYDIS will enter into the M&A agreement in December.

■ Prime View Consortium Company Profile

Prime View International Co., Ltd.

- TFT-LCD manufacturer headquartered in Hsinchu, Taiwan owns 2.5 generation (370mm X 470mm) line

- Main products are small to medium sized products such as 2” to 10” digital video cameras, car displays and e-Paper

- Website: www.pvi.com.tw

ALCO Holdings Ltd.

- AV equipment manufacturer headquartered in Hong Kong with production facility in China

- Main products are portable DVD players, LCD TVs, DVD home theaters, mini Hi-Fi

- Website: www.alco.com.hk

Varitronix International Ltd.

- LCD manufacturer headquartered in Hong Kong with production facility in China 

- Main products are small- to medium-sized LCDs for car displays and mobile phones

- Website: www.varitronix.com

■ Contact Information

SG Kwon / BOE HYDIS, Manager

Tel: 82-31-639-7436 / 82-11-9129-7895  sgkwon@boehydis.com