Samsung Electromechanics plans to exit the hard disk drive motor business and furtherfocus on core businesses. The company sells components for handsets such as wireless, network and camera modules.

The restructuring comes after the company posted a 99.6 percent drop in 2014 profit, mainly due to sluggish sales of Samsung Electronics' new flagship smartphones, the Galaxy S6 and S6 Edge, as the camera module is one of the firm's core businesses.

At the end of last year, Samsung Electronics also sold its fiber optics business and reduced its light-emitting diode (LED) business.