Samsung Electro withdraws plan to acquire Chinese circuit board maker

SEOUL, July 24 (Yonhap) -- Samsung Electro-Mechanics Co., a South Korean
electronic components maker, said Friday it has withdrawn its plan to buy the
Chinese production unit of a Taiwanese circuit board manufacturer.

The company has failed to reach an agreement on a reasonable buyout price during
negotiations with Taiwan's J-Three International Holding Co., which controls the
Chinese unit Unicap Electronics Industrial Co, it said in a regulatory filing.
Through the original buyout deal, Samsung was to take hold of 95 percent stake in
Shanghai-based Unicap, which specializes in producing circuit boards for
liquid-crystal displays.
Samsung Electro-Mechanics said last October it had signed a deal with J-Three to
acquire Unicap effective November 30.
The date, however, had already been delayed three times.
The South Korean company, a parts manufacturer under Samsung Group, was aiming to
boost its competitiveness by securing an additional production complex in China
in addition to the three it already owns there.
ygkim@yna.co.kr
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