It is reported that the Japanese display (JDI), which is deeply mired in financial difficulties, has become less likely to receive new and new capital injections in the Japanese market after the recent announcement of the fifth consecutive annual financial loss in FY2018; Suwa Investment Holdings, a Chinese consortium that has teamed up with Taiwan, is likely to become a major shareholder of JDI through a conditional bailout agreement.
If the deal is finalized, the new funding from Suwa will enable JDI to use the evaporation process to increase the company's OLED panel production, thereby helping the company improve its position in the automotive panel market and from Apple smartwatches and other mobile devices. The ability to order OLED panels.
JDI was originally one of Apple's leading suppliers of LTPS TFT LCD panels for iPhone devices; however, since 2018, factors such as the rise of China's flat panel industry, increased market competition and Apple's move to OLED panels have intensified. The misfortune of JDI.
Since Apple will begin to use OLED panels for all iPhone devices starting in 2020, JDI has therefore established a 6G OLED pilot line with an evaporation process. However, compared with the Samsung display, JDI is a late entry into the OLED panel industry, and the risk of high investment is high. Therefore, JDI finds it difficult to obtain new products from Japan Industrial Innovation Machinery (INCJ), Sony and other shareholders. funds.
If JDI's restructuring plan meets the requirements of potential investor Suwa, members of the consortium, including Taiwan's touch panel maker TPK Holding and China's Harvest Tech Investment Management, may sign a cooperation agreement with JDI. Production of LCD and OLED panels. With JDI's leading market position in the field of automotive LCD panels, the alliance and JDI's cooperation will help them smoothly enter the automotive OLED panel field and obtain a large number of touch panel orders for Apple mobile devices.