|
On June 2, 1999, Hitachi, Ltd. (TSE:6501) and Dai Nippon Printing Co., Ltd. (DNP) (TSE:7912) announced that they have reached an agreement under which Hitachi will sell its semiconductor mask unit to DNP, effective October 1, 1999. Under the terms of the agreement, Hitachi will transfer to DNP all of its mask operation, from development to manufacture. This will enable Hitachi to better concentrate its management resources on its semiconductor devices business and enhance its capital efficiency. For DNP, the acquisition of Hitachi's mask unit will enable DNP to further expand and strengthen its semiconductor mask business.
Hitachi is currently conducting a review of its semiconductor related business with the aim of improving profitability and capital efficiency, as part of a restructuring of the company's Semiconductors & Integrated Circuits group. While Hitachi has developed and manufactured its own masks, the cost of process technologies for finer dimensions has risen sharply, therefore making it strategically necessary for the company to concentrate management resources on its semiconductor devices business. This led to the decision to sell its mask unit to DNP, which possesses leading-edge process mask technology and has been a user of Hitachi masks.
As a leading manufacturer of masks, DNP has been vigorously investing in technology and equipment to ensure its ability to supply semiconductor manufacturers with a stable supply of masks. Amid the rising importance of masks as a key component for semiconductors, the development of advanced masks and the establishment of the related mass-production technology have become topics of critical importance for the industry. The acquisition of Hitachi's mask operation will have the effect of enhancing DNP's mass-production operations while at the same time reducing the total cost, helping the company to expand and strengthen its mask business.
Along with the transfer of operations, some 30 personnel now working for the Mask Engineering Development Department of Hitachi's Semiconductors & Integrated Circuits group's Semiconductor Technology Development Division, and for the Mask Manufacturing Group, MOS LSI Manufacturing Department, Total Production Division, will be transferred to DNP or its subsidiary, Dai Nippon Printing Fine Electronics Co., Ltd.
|
|
Outline of Hitachi, Ltd.
|
|
(1)Location |
: |
6, Kanda-Surugadai 4-chome, Chiyoda-ku, Tokyo |
|
(2)President |
: |
Etsuhiko Shoyama |
|
(3)Capital |
: |
281,735 million yen |
|
(4)Employees |
: |
67,078 (unconsolidated as of March 31, 1999) |
|
(5)Sales |
: |
3,781 billion yen (unconsolidated for fiscal year ended March 31, 1999) |
|
|
Outline of Dai Nippon Printing Co., Ltd.
|
|
(1)Location |
: |
1-1, Ichigaya-Kagacho 1-chome, Shinjuku-ku, Tokyo |
|
(2)President |
: |
Yoshitoshi Kitajima |
|
(3)Capital |
: |
114,464 million yen |
|
(4)Employees |
: |
11,836 (unconsolidated as of March 31, 1999) |
|
(5)Sales |
: |
1,098,547 million yen (unconsolidated for fiscal year ended March 31, 1999) |
|
|
Outline of Dai Nippon Printing Fine Electronics Co., Ltd.
|
|
(1)Location |
: |
1-1, Ichigaya-Kagacho 1-chome, Shinjuku-ku, Tokyo |
|
(2)President |
: |
Yoshiyuki Nakagawa |
|
(3)Capital |
: |
300 million yen |
|
(4)Employees |
: |
799 (unconsolidated as of March 31, 1999) |
|
