On the evening of October 27, HC SemiTek announced a corporate name change to BOE HC SemiTek Corporation, with the securities code and ticker symbol remaining unchanged.

On November 4, 2022, HC SemiTek and BOE signed a subscription agreement, in which BOE plans to spend RMB 2,083,597,236 in cash to acquire 372,070,935 shares issued to specific offerees from HC SemiTek. Following the issuance, BOE will hold a 23.08% stake in HC SemiTek and 26.60% voting rights.

On June 29, 2023, the application for stock issuance was approved by the China Securities Regulatory Commission, indicating that BOE will replace Huafa Group to become the majority shareholder of HC SemiTek, while the actual controller will be changed from the State-owned Assets Supervision and Administration Commission of the Zhuhai Municipal People's Government to Beijing Electronics Holding, Co., Ltd.

The partnership has a clear goal: to expand and strengthen the Mini/Micro LED industry.

For HC SemiTek, receiving cash from BOE allows it to launch a project involving Micro LED wafer manufacturing and packaging at Zhuhai. The project officially started on July 31 this year. After completion, it will be able to produce 58,800 Micro LED wafers and 45,000.00kk Micro LED pixel devices per year. Simply put, HC SemiTek’s production capacity of Micro LED chips and devices will be greatly improved. For BOE, having an ownership in the LED maker has filled the gap in its upstream supply chain and vertically connected the Mini/Micro LED industry chain, further enhancing its comprehensive competence.

In the era of Mini/Micro LED displays, upstream–downstream integration becomes the key to success. By acquiring an ownership in HC SemiTek, BOE will be able to form a large Micro LED camp along with its subsidiaries BOE Pixey and MLED. Before BOE acquired HC SemiTek, TCL and San’an Optoelectronics cooperated to establish Xinying Display, forming a major camp. Ennostar has formed another alliance with AUO and Innolux. Now, with the change of HC SemiTek’s name, the global pattern of the three major Micro LED camps has become clear. In addition, Hisense has acquired control of Changelight, showing great potential for further growth. Whether it will form another major camp in the future will be a subject of great interest. (Summarized by Janice from LEDinside)

TrendForce 2023 Micro LED Market Trend and Technology Cost Analysis
Release Date: 31 May / 30 November 2023
Language: Traditional Chinese / English
Format: PDF
Page: 160 / Year

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