TCL Group announced that it has emerged as the priority bidder for the equity deal involving LG Display’s Guangzhou plant. TCL’s subsidiary, TCL CSOT, will begin exclusive negotiations with LG Display to finalize the transaction. TrendForce is predicting that the successful acquisition will significantly boost TCL CSOT’s market influence, raising the combined market share of China’s top three LCD TV panel manufacturers to nearly 70%.
TCL’s official statement highlights that, pending the successful completion of negotiations, TCL CSOT will acquire 70% equity in LG Display China and 100% in LG Display Guangzhou.
The acquisition will allow TCL CSOT to strategically accelerate the production of larger TV panel sizes and this move aligns with TCL Group’s broader strategy to expand its market share by leveraging additional resources acquired through this deal.
TrendForce also notes that the anticipated closure of Sharp’s Gen10 production line in 2025, coupled with the integration of TCL CSOT’s acquisition of LG Display’s plant, is expected to contribute to a reorganization of the industry in the coming year. LG Display’s decision to sell its Guangzhou plant is partly driven by financial pressures impacting its OLED market investments. The sale is intended to provide LG Display with the necessary capital to refocus its investments and better meet the needs of its key customers.
