Corning has completed the acqusition of Samsung Corning Precision Materials, Co., Ltd. (SCP), formerly an unconsolidated equity venture with Samsung Display Co., Ltd., which manufactures LCD glass in Korea.
In connection with the acquisition, Corning issued new convertible preferred shares to Samsung Display with an aggregate face amount of $1.9 billion. Corning said that Samsung Display made an additional investment in Corning by purchasing another $400 million of the new convertible preferred shares.
This acquisition is expected to deliver important financial and strategic benefits to Corning. By gaining full control of its global fusion-glass manufacturing platform, the company can achieve greater flexibility in asset use, improved operational efficiencies, and better positioning for new specialty-glass market opportunities.
Operating under the new name of Corning Precision Materials Korea Co., Ltd, the former SCP organization and operations will combine with Corning?s Display Technologies segment through a phased business-integration plan.