14 Feb '11, 6am

Taiwan to allow China LCD investment: report

TAIPEI: Chinese firms will be allowed to own up to a fifth of Taiwan's flat-screen makers as the island further eases its controls on investments from the mainland, local media reported Monday. In yet another sign of fast warming ties with Beijing, Taiwan's economic ministry last month completed its screening of a proposal for opening up to Chinese investors, the Commercial Times said. Under the proposal, which must get the cabinet's final approval, Chinese home appliance manufacturers will be permitted to hold up to 20 per cent of Taiwan's LCD (liquid crystal display) makers, it said. But the investments will not be permitted if the transactions make Chinese investors the single biggest shareholders, the report added. The measures will help Taiwanese flat-screen makers forge alliances with Chinese home appliance firms and help them tap China's vast market, it said, explai...

Full article: http://www.channelnewsasia.com/stories/afp_asiapacific_bu...

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