PJ Time, 6/24/11
The Taiwanese government approved display maker AU Optronics' (AUO) USD 796.25 mln purchase of a 49% stake in Jiangsu-based Kunshan Longfei Optical yesterday. AUO reached a private business agreement with Longfei under which AUO will send a team to oversee management of Longfei, with the right to appoint managers. AUO will also hold more seats on the company board than Longfei itself, guaranteeing AUO the ability to direct company management.
Editor's Note: The ownership structure of Longfei Optical will shift, with AUO holding 49% of the company and the Kunshan municipal government holding 51%.