TAIPEI: Taiwan technology giant Foxconn, the world’s biggest components maker, said yesterday it has invested around $365m in a South Korean information technology service provider as it looks to diversify its business.
The firm, also known by its Taipei-headquartered mother company Hon Hai Precision Industry, said the deal allowed it to obtain a 4.9 percent stake in SK C&C Co, a unit of South Korea’s third largest conglomerate SK Group. “This transaction is a win-win strategic partnership for both of our companies as it brings together a unique combination of capabilities to create synergies that will benefit current operations while also supporting efforts to jointly develop new business opportunities,” Hon Hai said in a statement.
In the face of growing competition and narrowing margins, Foxconn has been diversifying its businesses into other fields, among them providing 4G telecom services in Taiwan. Hon Hai is the world’s largest computer components manufacturer. AFP
