Hansong Neotek Signs OLED Equipment Supply Contract Worth 6.2 Billion KRW with LG Display

[Asia Economy Reporter Yoo Hyun-seok] Hansong Neotek announced on the 3rd through a public disclosure that it has signed an organic light-emitting diode (OLED) equipment supply contract worth 6.2 billion KRW with LG Display. This amount corresponds to 32.2% of Hansong Neotek's sales revenue from last year.

This equipment order follows the OLED equipment order contract worth 7.3 billion KRW signed with LG Display in May.

Hansong Neotek is a manufacturer of OLED process equipment such as OLED FMM (Fine Metal Mask) tensioners. It is recognized for its excellent technological competitiveness in the OLED FMM tensioner sector. The OLED FMM tensioner is a key piece of equipment used in the organic material deposition process during OLED display manufacturing.

A Hansong Neotek official stated, "This contract with LG Display is significant as a signal that the upstream display industry is reactivating investments," and added, "The OLED equipment market is expected to recover starting this year after hitting a low last year, which is anticipated to accelerate sales growth."

He continued, "With the resumption of investments by global display companies such as LG Display and BOE, the OLED equipment business environment is expected to improve from the second half of this year," and added, "The increase in OLED adoption in smartphones, the start of OLED adoption in tablets and laptops, and the rise in WOLED TV sales are expected to cause a surge in OLED demand. Furthermore, OLED investments, which were halted due to COVID-19, are expected to resume, leading to definite core business growth for the company starting this year."