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Stock impact report

What a Sony and TCL partnership means for the future of TVs [Verge, The]

LG Display Co, Ltd AMERICAN DEPOSITORY SHARES (LPL) 
US:NYSE Investor Relations: ir.oled.com/shareholders/default.aspx
Company Research Source: Verge, The
Sony, the storied Japanese TV brand, has announced that it has signed a memorandum of understanding with its Chinese competitor TCL. This potential partnership — with TCL set to hold a 51 percent stake and Sony 49 percent — has prompted speculation across the internet and I'm sure many meetings at a couple of other TV companies in South Korea. Before we get too apocalyptic and proclaim the end of Sony TVs, it's important to understand that this isn't a done deal. The memorandum of understanding indicates that the two companies are in discussions to potentially establish a partnership. There's still a couple of months before any binding agreements will be drawn up, and then there will need to be regulatory approvals made of those agreements. So there's still a chance everything could fall apart and nothing comes of yesterday's announcement. Even if we do hear of a binding contract by the end of March, the new company won't be fully in effect until April of next year, meaning we likel Show less Read more
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