Samsung buys 10% stake into Pantech
The South Korean electronics giant Samsung has just taken a 10% buy into Pantech. While Pantech may not be as popular as LG or Samsung, they are still South Korea’s third largest handset maker.
Pantech is South Korea's third largest handset maker and Samsung clearly sees potential in their competitor. Just recently the electronics giant purchased a 10% stake into the company at nearly $48 million dollars (U.S.)
Samsung says this latest purchase into Pantech will help “further solidify bilateral cooperation in smartphone and other business areas.” This comment may reflect the two companies cooperation in sales. Just last year Pantech purchased approximately $200 billion (U.S.) in electronic parts from Samsung, which is a considerable purchase for any sized corporation.
The 10% buy into Pantech is still a relatively small investment for the likes of Samsung, which is currently the world’s largest electronics maker. The investment makes Samsung the third largest stakeholder in the company just behind Qualcomm, which previously converted the company’s royalty debts worth $75 million into equity. Currently the state-run Korea Development Bank is the largest stakeholder at nearly 12%.
Samsung is no stranger to making investments into rival companies. In March of this year Samsung purchased a 3.08% stake in Sharp at $112 million dollars. The purchase investment into Sharp was made, according to Samsung, to help give them greater access into Sharp’s technology.