CPT to Buy Stake in Chinese TV Maker Xoceco
November 18, 2005
Taiwanese CPT recently announced that it will acquire a stake of 29.87% to 36.14% in Chinese TV maker Xoceco (Xiamen Overseas Chinese Electronics) through its subsidiary in China. By acquiring this stake, which will cost CPT between NT$1.2 and NT$1.6 billion, it will become the largest shareholder of Xoceco, while through this investment Xoceco is expected to become the second largest LCD TV vendor in China. It marks the first time a Taiwanese panel maker has entered the Chinese television market, and the acquisition is expected to help CPT's parent company Tatung expand its Chinese market by selling Tatung and CPT products through Xoceco's channels. The deal still needs to be approved by the Taiwanese and Chinese governments. CPT expects the acquisition to be completed within six months.