Wonik IPS’ talks to buy Semes’ display equipment unit fails
It is Semes' 2nd failed talk after those with KCTech
Semes’ talks to sell its display equipment business unit to Wonik IPS for 82 billion won has failed.
Wonik IPS said on Friday that the pair’s contract for the deal signed on August 31 has been canceled and they were no longer in talks.
The company said Semes, a subsidiary of Samsung Electronics, called off the talks as the contract didn’t meet its demand of transferring existing employees.
The pair singed a binding MOU on August 31. The pair won is talks for Semes to handover its technology, sales right and personnel related to photo and wet equipment __ which includes photoresist appliers, coaters, etchers, strippers and various cleaners.
People familiar with the matter said employees of Semes’ display unit strongly protested against the deal.
The failed talks was Semes’ second attempt to sell its display unit. In 2019, the company met with multiple potential buyers to sell the unit, except its inkjet business. KCTech showed strong interest, hoping resume its dealings with Samsung Display, but their talks failed.
Another production equipment maker, founded by an ex-Semes executive, also held talks with Semes but their discussions also foundered.
For Semes, as its main customer Samsung Display is planning to exit the liquid crystal display (LCD) business, it no longer needs the display unit except business related to inkjet, which is used in OLED production. Semes was hoping to offload LCD-related equipment businesses and focus on those for color filters, OLED patterning, and OLED encapsulation.