[Aju News DB]
South Korean tech giant Samsung Electronics announced the acquisition Monday of Harman International Industries, a US-based global leader in connected car technology, for about eight billion US dollars.
It was the biggest acquisition of foreign companies by a South Korean company.
Samsung said in a statement that the deal, approved at its board meeting, would help the world's largest smartphone and microchip producer diversify its business portfolio into the rapidly growing market for connected technologies and auto electronics.
This year, Samsung has stepped up efforts to develop auto-related technology and software about components, in-car entertainment and autonomous driving.
The acquisition of Harman marks Samsung's biggest investment outside South Korea under the leadership of vice chairman J. Y. Lee, the only son of bed-ridden group chief Lee Kun-Hee, 74.
The 48-year-old vice chairman has sought to realign the country's largest family-run conglomerate to pave the way for his debut as group leader.
He became a registered board member last month when the tech giant was reeling from a debacle caused by its fire-prone flagship smartphone that led to a 29.6 percent drop in Samsung's third-quarter operating profit and seriously damaged its brand value and reliability.
Last week, Samsung BioLogics, a Samsung Group biosimilar arm, made its strong and successful market debut.
Aju News Lim Chang-won = cwlim34@ajunews.com
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