Over 2.6 billion! TCL Huaxing acquires 20% stake in LGDCA

TCL Technology announced on the evening of January 10 that TCL Huaxing Optoelectronics Technology Co., LTD. (hereinafter referred to as "TCL Huaxing"), the company's holding subsidiary, recently delisted LG Display (China) Co., LTD., held by Guangzhou High-tech Zone Science and Technology Holding Group Co., LTD., for RMB 2.615 billion through Guangzhou Equity Exchange Co., LTD

LGDCA (hereinafter referred to as "LGDCA") has a 20% equity interest, and has signed a property rights transaction contract with Guangzhou High-tech Zone Science and Technology Holding Group Co., LTD., the effectiveness of which is subject to the satisfaction of the conditions for the effectiveness of the relevant contracts.

It is reported that on September 26, 2024, the fifth meeting of the eighth Board of Directors of TCL Technology reviewed and approved the proposal on the proposed acquisition of 80% equity of LG Display (China) Co., Ltd. and 100% equity of LG Display (Guangzhou) Co., LTD
Case ", the company's holding subsidiary TCL Huaxing acquisition of LG Display Co., Ltd.(hereinafter referred to as "LGD")
Lgdca 80% equity held by its affiliates, LG Display (Guangzhou) Co., LTD. (hereinafter referred to as
"LGDGZ") 100% equity, as well as technical and support services required for the operation of LGDCA and LGDGZ.
TCL Technology said that the transaction will further enrich the company's business layout in the semiconductor display industry and enhance industrial synergies
We should take advantage of scale, meet the growth demand under the trend of large size, and improve the long-term profit level. TCL Huaxing has
Signing of 80% equity sale agreement with LG Display Co., Ltd and its related parties, subject to relevant
Departmental approval or approval. Upon completion of the transaction, TCL Huaxing will hold 100% of LGDCA. The subject of the transaction: LGDCA 20% equity Transaction Price: RMB 2.615 billion Payment method and time of payment: The transaction is to be paid in cash, the source of funds is TCL Huaxing's own or self-raised funds; This time
The payment of the transfer price of the transaction equity shall be made in one lump sum, 5 days after the effective date of the property rights transaction contract
Pay within days. Underlying transition profit and loss: The profit and loss generated by LGDCA during the period from the trading base date (i.e. June 30, 2024) to the completion date of the industrial and commercial change shall be borne and enjoyed by the underlying company and its shareholders after the industrial and commercial change according to law. Effective Conditions: The effective of the Equity Transaction Contract is subject to the satisfaction of the relevant regulatory approvals required by TCL Huaxing and LG Display Co., Ltd and their affiliates for the sale of 80% equity in the target Company.