Micromax looking to acquire Pantech
India's second largest smartphone marker, Micromax Informatics Ltd has indicated that it is looking to acquire a stake in South Korean counterpart, Pantech Co Ltd in a move to exapnd its presence in the international market.
The low cost handset maker is planning to expand its presence in the upmarket segment of the global smartphone market. Pantech, which is South Korea's third largest smartphone maker, is under a debt-restructuring programme following continued losses due to increasing competition from rivals.
According to people closer to the matter, the Indian company has informed Pantech that it is interested in a stake in the company. The sources did not announce the financial details of the proposed deal.
A total of nine creditor banks have a stake of 37 per cent in the company. Qualcomm Inc has a 12 per cent and Samsung Electronics Co Ltd has a 10 per cent holding in the phone maker. Pantech focuses on manufacturing smartphones and is struggling to compete against Samsung and LG in its home market. The company also sells smartphones in markets including Japan and the United States.