With the core competence in R&D, HYC has core technologies in OLED products, retaining 44 patents in 2019. The acquisition would benefit both HYC and Olyto.
Image Credit: Jose Antonio Gallego Vázquez / Unsplash
Since going public, HYC has gained increasing attention. Compared with that of other nations, China’s panel display industry has started later, so there is more room for firms like HYC to grow. Moreover, China has launched plans to promote the production of domestic detection equipment.
Based on this favorable policy, HYC has decided to acquire Olyto – an automation equipment maker with a major client in the form of Apple. In other words, they could share and improve their detection technology by entering into Apple’s detection device field.
The acquisition of Olyto would further enhance the firm’s R&D ability. Specifically, it has invested CNY 0.19 billion for R&D, and 40% of its employees are research staff. Additionally, there was a 49.91% rise in its operating costs in the last two years; technology sharing may help it save costs in the future.