Foxconn OLED production line located in SDP? Transfer of technical personnel

Nikkei News reported on April 1st that the OLED panel is Hon Hai (2317) as SHARP (Sharp) reconstruction of the pillar, Foxconn / SHARP plans to invest 200 billion yen to invest in OLED panel, expected by large-scale investment after Samsung and other manufacturers in South Korea, although SHARP and Hon Hai / original plan will OLED production line in Kameyama plant, but it is reported that Foxconn / SHARP has entered the final stage of adjustment, intends to OLED production line in common operating on both sides of the city (soil boundary) 10 generation panel plant, SHARP will provide the 10 generation plant operating company "Sakai Display Product (SDP)" loan workshop, set the OLED panel production line.

Hon Hai relations, said, SDP is a symbol of Hon Hai / SHARP cooperation, so the production of OLED panels in SDP is of great significance".

Reported that apple (Apple) is expected to adopt OLED panel in the iPhone, the huge business opportunities, while SHARP incorporated in a strong financial position, Hon Hai's investment is sustainable; but according to industry related sources, because of the current operational crisis, which resulted in the technical personnel inside SHARP master OLED have left. Therefore, "OLED production technology research and development is very difficult".

Thomson Reuters reported in March 30th that the Samsung's Samsung Display and LG Display (LGD) has been the production of OLED panels, and swept more than half of the global market share, while SHARP is Hon Hai / 2018 plan to mass production, there is even trying to make the production line have not yet, so you want to catch up has a substantial lead run ahead the South Korean manufacturers is not easy; and the Taiwan securities legal analyst Kylie Huang pointed out that Foxconn / SHARP panel in the OLED field should be and Samsung and other manufacturers to compete stage fear for more than 2 years of time, Kylie Huang said, "2 years, 3 years to 4 years, if possible it should be no problem".

SHARP announced in February 25th, Hon Hai / SHARP plans to invest 200 billion yen, R & D and production line, set the OLED panel in the trial for the Kameyama plant production line and production line, and plans to begin production in early 2018, target per month about 10 million pieces of 5.5 inch OLED panel production capacity in 2019 before the end of year for the use of OLED panel, annual revenue target of 260 billion yen for the machine to produce about 90 million 5.5 inches of wisdom.

Nikkei News reported on March 8th, Hon Hai after the acquisition of SHARP, will jointly operating on both sides of the city (soil boundary) 10 generation panel factory and SHARP Kameyama plant production integration of the operating positions, SHARP intends to the cause of the panel (in medium and small size panel based) spin off, and to the 10 generation plant operating company "Sakai Display Product (SDP)" under the flag.

In related news part of SHARP, the credit rating agency Standard & Poor's (S&P) announced in March 31st, the SHARP company long-term credit rating outlook from the original "cut" changed to "may increase", mainly in March 30th announced the acquisition of SHARP foxconn.

Standard Pufu in March 23rd to Hon Hai SHARP's acquisition of contracts on time delay, SHARP long-term corporate credit rating downgraded 1 levels to CCC from "CCC+"".

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