Hoya Corp. and Nippon Sheet Glass Co. have unveiled plans for a stock market listing of their LCD glass substrate joint venture, NH Techno Glass Corp., in 2010. The proceeds from the listing will go i…
Hoya Corp. and Nippon Sheet Glass Co. have unveiled plans for a stock market listing of their LCD glass substrate joint venture, NH Techno Glass Corp., in 2010. The proceeds from the listing will go into new manufacturing lines and other capital investments. NH Techno was set up in 1991 as a 50-50 joint venture between Hoya and Nippon Sheet, with each investing JPY 1.5 billion. The firm recorded approximately JPY 30 billion in consolidated sales and a JPY 2.5 billion net profit in the year through March 2006. The company has plants in Japan, Singapore, Taiwan and South Korea. It ranks fourth in the world with 5% of the global market, behind leader Corning Inc., Asahi Glass Co. and Nippon Electric Glass Co. NH Techno suffered a JPY 1 billion group net loss in the April-June 2006 quarter due to manufacturing problems and inventory adjustments by Taiwanese LCD panel makers, which put pressure on profits at its parent companies. As a result, the firm plans to launch a restructuring program in September 2006, which includes cutting unprofitable production lines in Japan and eliminating jobs. It now projects a JPY 5 billion net profit in the year ending March 2007.