Samsung looking at acquiring OLED displays manufacturer Novaled: Report
Samsung is reportedly looking at acquiring German-based organic light-emitting diode company Novaled AG for its smartphone and television screens. A Bloomberg report has cited two insiders disclosing that the deal is likely to get inked soon, possibly by the end of this month, and is estimated to cost Samsung over $200 million.
Samsung already owns 10 percent of Novaled and is believed to account for more than 50 percent of the company’s sales in 2011. Samsung has been trying to acquire a larger share in the company since September 2011 and even proposed an equity investment of an undisclosed amount to Novaled around the same time. However, nothing concrete has come out of the talks so far. The deal however is reported to be finally in the final rounds of agreement.
Though nothing has been confirmed from Samsung, the report has quoted Gerd Guenther, the chief marketing officer for Novaled confirming that the company is in talks with Samsung, however chose not to comment any further.
LG and Samsung have been arch rivals over their display development segment. While LG has recently been in news for developing world’s thinnest, as per their claims, 1080p display measuring merely 2.2mm in thickness, Samsung is also seen putting focus on their display segment. While both the companies are pushing OLED technology, they have also been in spat over the OLED technology patent for quite some time now.
Further on the patent front, Samsung has been working on filing more patents and had invested $25 million to open its first US-based patent business, which is believed to be focused on OLED and LCD patents. And if happens, this acquisition deal with Novaled will further help Samsung to get hold of more OLED technologies and patents, and be a step ahead of its rivals.