On April 7 Taiwanese AUO announced it will acquire Quanta Display, with the merger going into effect on October 1, 2006. After the merger, AUO will account for over 19% of the global panel market with a leading position in 5G and 6G production capacity. The procurement will enable AUO to better compete with Korean panel makers. AUO said the acquisition will take place through a share swap, with 3.5 Quanta Display shares to be exchanged for each AUO share. According to current share prices, the deal between AUO and Quanta Display is expected to have a value of about NT$71.7 billion.