JNC Corporation (hereinafter referred to as "JNC"), announces that its Board of Directors passed a resolution at a meeting held on November 24, 2020, concerning the establishment of a subsidiary for the development and sales of organic electroluminescent (EL) materials, JNC's asset transfer to the subsidiary, and a contract on the formation of a joint venture (hereinafter referred to as "the Joint Venture Contract") through investment by JNC and SK Materials Co., Ltd. (based in Gyeongsangbuk-do, South Korea; hereinafter referred to as "SKM") for the sales of organic EL materials.
- Objective of subsidiary establishment & reason for business transfer
JNC is developing blue dopant, on which it has a technological advantage, and its peripheral materials. In order to meet needs of the rapidly growing organic EL display market, JNC has decided to set up a subsidiary specialized in the organic EL material business for the purpose of accelerating decision-making and development of such materials, and expanding the organic EL material business, and to transfer JNC's research and development division on organic EL materials to the subsidiary.
The subsidiary will go under the umbrella of a joint venture with SKM, as explained below, to strengthen response to requests from South Korean panel manufacturers.