Taipei/Tokyo: China Electronics Corporation, a Chinese government-controlled investor in technology companies, will increase its holding in TPV Technology Ltd, a move that may prompt a takeover offer. Mitsui & Company also plans to buy a stake.
Royal Philips Electronics NV, has agreed to sell a 9.5 per cent stake in TPV to CEIEC (HK) Ltd, a unit of China Electronics, the Dutch company said in an e-mailed statement yesterday.
TPV, the world's biggest contract maker of computer monitors and which has a market capitalisation of HK$10.3 billion (Dh4.86 billion), suspended its shares from trading in Hong Kong and Singapore yesterday pending an announcement on a possible general offer, it said in a regulatory filing.
China Electronics, TPV's biggest shareholder, may be interested in adding to its stake in the monitor maker as demand for computer products increases, CIMB-GK Pte analyst Jonathan Ng said.
Beijing-based China Electronics raised its holding in TPV to 27 per cent in July, following a series of share purchases.