Hoya sells off magnetic media operations
$235 million in cash proceeds to Hoya
By PF Staff in Third-Party Announcements on Aug 29, 2010
Western Digital Corporation has agreed to purchase the magnetic media sputtering operations of Hoya Corporation and Hoya Magnetics Singapore Pte. Ltd. for 22 billion yen (approximately $235 million) in an all-cash transaction. The agreement includes a multi-year commitment for glass substrate supply related to these operations from Hoya, solidifying WD's access to a key component for its 2.5-inch hard drive business and further enhancing the ongoing partnership between the companies. The acquisition will augment WD's existing magnetic media operations, strengthening its ability to meet anticipated growth in demand for hard drives in the years ahead.We anticipate that this cash boost for Hoya will also allocate funds for further development of Pentax DSLRs, including possibly a full-frame body.