SEOUL-- South Korea's LG Display Co. said Tuesday it will invest 7.8 trillion won (US$6.9 billion) to build facilities for the production of organic light-emitting diode (OLED) panels.
The display maker said in the regulatory filing that the investment will be aimed at producing various sizes of OLED panels for different needs.
The investment will begin in the third quarter of 2017 and continue throughout the second quarter of 2019, the company said. LG Display added the investment aims to beef up its production capabilities amid the rising demand for OLED panels from the market.
Of the earmarked amount, 2.8 trillion won will be spent on the 10.5-generation OLED panel production line, while 5 trillion won will be allocated for the mid-sized Plastic OLED products, LG Display said.
Following the latest decision, the company said its capital spending throughout 2020 will reach a whopping 15 trillion won.
LG Display said the investment is aimed to cope with the expanding market for OLED TVs, as well as rising demand from the mobile and automobile sectors.
Industry watchers said the massive investment also reflects the company's confidence in its OLED products. The company said it will continue to tap deeper into various areas of the OLED panel industry.
Source: Yonhap News Agency