Coretronic's Subsidiary Joins Hands with Japan-based Gunze on Touch Panels

Taipei, Dec. 13, 2010 (CENS)--Coretronics Corp.'s subsidiary Young Lighting Technology Inc. has announced establishment of a joint venture with Japan's Gunze Limited, which will be located in China's southeastern city of Guangzhou and engaged in production of touch panels.

According to the Coretronics, Young Lighting and Gunze will totally invest US$6 million in the joint venture, with the former to hold a 51% stake, and the later remainder.

In fact, Coretronics, a Taiwan-based DLP (digital light processing) projector and backlight maker, has supplied its products relative to touch panels for industrial purposes to the Japanese client for a time. Therefore, the joint venture is not only seen as Coretronics's determination to venture into touch panels, but also the two sides’ move to reinforce business ties with each other.

Also, Gunze confirmed that establishment of the joint venture is part of its plan to boost monthly capacity of capacitive touch panels to 600,000 units by the end of 2011.

Young Light is scheduled to kick off production of 10-inch touch panels next March, and has already garnered a contract order for backlight modules from Chimei Innolux Corp., a large-sized Taiwanese display panel supplier. With the subsidiary to pump growth momentum into its revenue growth, Coretronics is expected by institutional investors to score combined revenue of over NT$110 billion in 2011.