TPV Technology, the world's largest contract manufacturer of personal computer displays, has put on track its plan to become a television market leader after completing its takeover of Royal Philips Electronics' loss-making television business.
In a filing with the Hong Kong stock exchange yesterday, TPV chairman and chief executive Jason Hsuan said Philips agreed to pay a cash package totalling Euro206.4 million (HK$2.14 billion) and transfer its television business to a joint venture set up in November by the Kwun Tong-based firm and the Dutch electronics giant.
'We can become a major player in television globally,' Hsuan said of having Philips as a partner.
Their joint-venture firm, TP Vision, has its headquarters in Amsterdam, employs about 3,300 staff and is 70 per cent owned by TPV.
TP Vision is responsible for the design, production, distribution, marketing and sales of Philips-branded LCD television products worldwide, except on the mainland, in India, the United States, Canada, Mexico and certain countries in South America.
Philips chief executive Frans van Houten expects TP Vision to become 'a strong player in the global TV market and will ensure the continuity of the Philips TV brand'.
Once a leading brand in the television industry, Philips has seen its global market share decline over the past decade due to competition from more advanced and sleek liquid crystal display (LCD) products from top Korean and Japanese rivals.
