Feeds

Hyundai-LG on-off merger deal off again?

Intransigence plus threats from Europe and US could kill it

  • alert
  • submit to reddit

The essential guide to IT transformation

The proposed merger of the semiconductor arms of Hyundai and LG is on the point of falling apart, said Korean sources yesterday. According to the The Korea Herald, the deal is running aground on the rock of control - both sides, as was to be expected, want to run the merged company and neither will give in. Also predictable (and incidentally, predicted right here) were shrieks of outrage from the US and EU. The Korean government's plans to rationalise the chaebols by merging the groups' weaker operations into the stronger raise antitrust issues, and regulators in Europe and the US will inevitably focus on any Korean mergers that actually happen. Washington meanwhile, The Herald reports, is keeping a close eye on the Korean government, and is ready to cry foul if any of the IMF loan funds are diverted to finance mergers. Some Korean business leaders remain optimistic that the LG-Hyundai deal will go through, and the nightmare suggestion of the two groups taking turns to run the company, changing over every three to four years, has been mooted. But much of their enthusiasm for seeing the deal go through no doubt stems from their need for the government to be able to rescue something from its so far abortive strategy, while avoiding having to sacrifice any of their own units. LG Semicon has meanwhile been thrown a small lifebelt by Philips Electronics, which today gavee it a three year contract to supply $700 million worth of LCDs. The deal is for TFTs in 12.1in, 15.1in and 18.1in sizes - given these dimensions we can presume the Dutch company is up to something on the home entertainment front. Deliveries start in January. ®

5 things you didn’t know about cloud backup

More from The Register

next story
Microsoft exits climate denier lobby group
ALEC will have to do without Redmond, it seems
Caught red-handed: UK cops, PCSOs, specials behaving badly… on social media
No Mr Fuzz, don't ask a crime victim to be your pal on Facebook
Barnes & Noble: Swallow a Samsung Nook tablet, please ... pretty please
Novelslab finally on sale with ($199 - $20) price tag
Ballmer leaves Microsoft board to spend more time with his b-balls
From Clippy to Clippers: Hi, I see you're running an NBA team now ...
Kate Bush: Don't make me HAVE CONTACT with your iPHONE
Can't face sea of wobbling fondle implements. What happened to lighters, eh?
Video of US journalist 'beheading' pulled from social media
Yanked footage featured British-accented attacker and US journo James Foley
True fact: 1 in 4 Brits are now TERRORISTS
YouGov poll reveals terrible truth about the enemy within
Assange™: Hey world, I'M STILL HERE, ignore that Snowden guy
Press conference: ME ME ME ME ME ME ME (cont'd pg 94)
prev story

Whitepapers

Implementing global e-invoicing with guaranteed legal certainty
Explaining the role local tax compliance plays in successful supply chain management and e-business and how leading global brands are addressing this.
7 Elements of Radically Simple OS Migration
Avoid the typical headaches of OS migration during your next project by learning about 7 elements of radically simple OS migration.
BYOD's dark side: Data protection
An endpoint data protection solution that adds value to the user and the organization so it can protect itself from data loss as well as leverage corporate data.
Consolidation: The Foundation for IT Business Transformation
In this whitepaper learn how effective consolidation of IT and business resources can enable multiple, meaningful business benefits.
High Performance for All
While HPC is not new, it has traditionally been seen as a specialist area – is it now geared up to meet more mainstream requirements?