TCL has divested its terminal business from listed companies and left the semiconductor display business. Investors have repeatedly called for the name change.
On January 13, TCL Group was renamed “TCL Technology” to highlight the company’s strategic positioning as “the world’s leading technology company.”
TCL Group’s announcement shows that the company intends to change its name to “TCL Technology Group Co., Ltd.”, correspondingly change its English name to “TCL Technology Group Corporation”, change the short name of the securities to “TCL Technology”, and change the English short name to “TCL TECH.”, Stock code is still “000100”.
For the reason for the change of name, the announcement pointed out: First of all, the company has divested its intelligent terminals and supporting businesses, focused on the development of the technology industry, and switched from related diversification to professional operations. The original full name and abbreviation no longer apply. Secondly, the company will continue to promote the industrial chain integration of the semiconductor display and materials business, making the main business bigger, stronger and more sophisticated. “TCL Technology” is more in line with the company’s main business composition. Third, the company is committed to the world’s leading smart technology industry group, looking for merger and acquisition opportunities in the core, basic and high-end technology fields. “TCL Technology” can accurately express the company’s strategic positioning.
TCL started its business in communications and consumer electronics. After 38 years of development, the business covers terminals and ancillary services such as televisions, mobile phones, home appliances, semiconductor displays and materials, industrial finance and investment venture capital. Wait. In January 2019, TCL Group voted through a shareholders’ meeting to complete a major asset reorganization, divested terminal and supporting businesses, and kept semiconductor display technology, materials, industrial finance, and investment businesses within the listed company system. In this regard, on the Shenzhen Stock Exchange, some investors often suggest that listed companies should be named “Huaxing Optoelectronics” to distinguish them from the terminal business that they divested.
At present, in the latest financial report of TCL Technology, the semiconductor display and materials business accounted for 57.4% of the company’s revenue and 80.6% of the company’s operating profit. The “TCL Huaxing”, which was renamed from Huaxing Optoelectronics, has become a leading display panel company: the world ’s third largest shipment of large-size display panels, the second largest shipment of LTPS mobile phone panels, and mass production of AMOLED products. The t7 production line has also been put into production and mass production. In the future, TCL Huaxing will focus on large-scale LCD high-end products through Mini LED on TFT and 8K technology.Brush OLED technology, and at the same time make efforts on QLED technology.
At the just-concluded CES 2020, TCL released an 8K QLED X9 TV, priced at 19,999 yuan, far lower than the usual 100,000 yuan of 8K QLED TV. Its cost advantage comes from TCL Huaxing’s supply chain advantages. Zhang Shaoyong, vice president of TCL Electronics and general manager of the TV business unit, said, “Since Huaxing has achieved a breakthrough in QLED panels in recent years, the leading advantages of Japanese and South Korean companies on TV have become insignificant, even without advantages.” Technology can also highlight the company’s strategic positioning in the continuous development of display panel technology.
Title provided by TCL Industries