NEC Corp. on Tuesday will spin out its LCD operations into a separate company
called NEC LCD Technologies.
The new firm will develop and manufacture TFT-LCDs
targeted at high end-end flat panel monitors for the industrial market,
according to the Japanese electronics giant.
Kazuo Okuno will be president of the firm. He was associate senior vice
president of the parent NEC Corp. and was formerly president of NEC Kansai Ltd.
Headquartered in Kawasaki, Japan, the new LCD company will employ 280 workers
and have a capitalization of $16.7 million.
NEC LCD Technologies will receive royalty revenue from the technology transfer
to a new LCD joint venture with SVA Group Co. Ltd. of Shanghai. Last week, the
joint venture said it was building a new fifth generation LCD plant in Shanghai.
The spinoff of NEC LCD Technologies continues the corporate reorganization plan
that will separate each of the business units of NEC Electron Devices. Last year,
NEC spun off its chip operations into a new subsidiary, NEC Electronics, now
based in Kawasaki.