[Click eStock] TCK "Misunderstanding Over Patent Lawsuit Loss, No Change in Status"

[Asia Economy Reporter Lee Seon-ae] The stock price of TCK, a supplier of silicon carbide rings used as consumables in semiconductor etching processes, plummeted by -14.01% on the 29th compared to the previous day. This is believed to be due to concerns over the results of a patent invalidation lawsuit. Since 2019, TCK has filed lawsuits against competitors seeking to prohibit patent infringement, and the litigation is currently ongoing.

On the 30th, Kim Kyung-min, a researcher at Hana Financial Investment, explained, "Because the stock price dropped sharply during the trading session, there was a misunderstanding that TCK had lost the patent lawsuit. However, referring to the status of the patent invalidation trial at the Patent Trial and Appeal Board, the number of claims filed by the petitioner (competitor) is 16, of which some claims were upheld and some were dismissed." He added, "The dismissed claims are related to manufacturing methods, so they do not affect TCK's manufacturing."

The claims upheld by the competitor pertain to the product, not the manufacturing method. Ultimately, the patent on the manufacturing method is considered the core issue, and the competitor's claims related to this were dismissed, which is not unfavorable to TCK. Furthermore, even if some claims were upheld, TCK holds numerous other patents and is expected to defend against them.

Researcher Kim stated, "We need to observe how TCK and its competitors respond respectively, but referring to the Patent Trial and Appeal Board's materials, if one disagrees with the Board's decision, they can file a lawsuit at the Patent Court, a specialized court at the high court level, and can also appeal to the Supreme Court." He emphasized, "Ultimately, the important factor is the relationship with end users and semiconductor equipment suppliers."

He continued, "TCK is focusing more on the genuine parts OEM market, and since the aftermarket has different market characteristics from the OEM market, competitors are also attempting to enter strategically with their own directions in mind. Ultimately, to achieve sales exceeding 100 billion KRW under a mid- to long-term plan, relationships not only with end users but also with semiconductor equipment suppliers are crucial, and in that regard, there is no change in TCK's status," he concluded.