- Huawei is reportedly in talks to sell off parts of its Honor unit.
- It’s believed that Digital China, TCL, and Xiaomi are interested in the deal.
US sanctions against Huawei mean that the company’s smartphone business has suffered in a big way. Between its crippled in-house chipset division and the lack of Google support, it’s becoming increasingly tough for the firm to keep producing phones.
These troubles extend to its Honor sub-brand too, but Reuters now reports that Huawei is in talks to sell off parts of the Honor business in a deal potentially worth up to 25 billion yuan (~$3.7 billion).
The report, citing “people with knowledge of the matter,” alleges that Honor’s brand, research and development infrastructure, and associated supply chain management business could be sold under the deal. However, the newswire’s sources caution that this hasn’t been finalized yet.
It’s believed that Huawei will focus on higher-end phones due to the US sanctions. Honor has traditionally been focused on young and/or budget-conscious consumers.
Who would do Huawei the honor, then?
Reuters reports that Honor phone distributor Digital China is considered a front-runner for the deal. However, the newswire adds that TCL and Xiaomi are also in the running.
Selling part of Honor to another business theoretically means that US sanctions wouldn’t apply to Honor-branded devices produced as part of this arrangement. It isn’t immediately clear what this would mean for Honor devices released prior to a sale though.
Furthermore, there’s no guarantee that the US government wouldn’t simply play whack-a-mole and apply sanctions to any company that acquires part of Honor. Huawei and Honor are intertwined in several ways, particularly when it comes to components used and research and development. So extricating large chunks of the sub-brand from its parent company will likely be a
By Julie Zhu
HONG KONG (Reuters) – Huawei Technologies Co Ltd is in talks with Digital China Group Co Ltd <000034.SZ> and other suitors to sell parts of its Honor smartphone unit in a deal that could fetch up to 25 billion yuan ($3.7 billion), people with knowledge of the matter said.
Embattled Huawei is resetting its priorities in the face of U.S. sanctions and will focus on its higher-end Huawei phones rather than the Honor brand which is aimed at young people and the budget conscious, they said.
The assets to be sold have yet to be finalised but could include Honor’s brand, research & development capabilities and related supply chain management business, two of the people said.
The deal may be an all-cash sale and could end up smaller, worth somewhere between 15 billion yuan and 25 billion yuan, one of the people said.
Digital China, the main distributor for Honor phones, has emerged as the frontrunner but other prospective buyers include Chinese electronics maker TCL and rival smartphone maker Xiaomi Corp <1810.HK>, the people said.
The sources declined to be identified as the talks were confidential.
Huawei and TCL declined to comment. Digital China and Xiaomi did not respond to requests for comment.
The Honor brand was established by Huawei in 2013 but the business mostly operates independently from its parent. It competes with Xiaomi, Oppo and Vivo in China’s highly competitive budget phone market and its phones are also sold in Southeast Asia and Europe.
Kuo Ming-chi, an analyst at TF International Securities, has said that any sale by Huawei of the Honor smartphone business would be a win-win situation for the Honor brand, its suppliers and China’s electronics industry.
“If Honor is independent from Huawei, its purchase of components will no longer be subject to
TikTok rival Triller Inc. is in talks with blank-check acquisition companies about a merger that could take the company public, a media report said.
The video-production-focused social-media company is negotiating a possible deal with special purpose acquisition companies, Reuters reported.
Triller is working with investment bank Farvahar Partners, sources told Reuters.
SPACs, or blank-check companies, are publicly traded entities formed specifically to find and merge with operating companies.
Triller is also in talks with investors to privately raise as much as $250 million, Reuters reported. That effort, led by UBS, has so far secured $100 million at a $1.25 billion valuation, sources told Reuters.
Triller has said it seeks to capitalize on TikTok’s uncertain situation in the U.S. President Donald Trump’s administration has ordered TikTok’s Chinese parent, ByteDance, to shed the app due to concern that U.S. citizens’ personal data might be accessible to China’s communist government.
Tiktok has 100 million U.S. users and Triller has a fraction of that figure, Reuters reported. Triller told CNBC in early August that it had 65 million monthly active users on its app.
Triller is controlled by the media industry veteran Ryan Kavanaugh and the healthcare executive Bobby Sarnevesht, Reuters reported.
Lee Soo Hyuk may be reuniting with Seo In Guk in an upcoming drama!
On October 8, Korean news outlet Ilgan Sports reported that Lee Soo Hyuk had been cast in a leading role in the upcoming drama “Ruin” (working title), the latest project by “Beauty Inside” writer Im Me-ari.
Lee Soo Hyuk’s agency YG Entertainment has since confirmed that the actor has been offered a role in the drama, but clarified that he is still in talks and that nothing has yet been decided.
A representative of YG Entertainment stated, “He has received a casting offer and is currently reviewing the offer with a favorable outlook.”
“Ruin” is a drama that will tell the story of characters who only truly begin to live their lives once they are faced with death. Seo In Guk was confirmed to be in talks for the titular role earlier this year, while Park Bo Young has been rumored to be in talks for the female lead.
Seo In Guk and Lee Soo Hyuk previously worked together on the upcoming movie “Pipeline,” which wrapped filming in November of last year, as well as the 2014 drama “King of High School.”
Are you excited to potentially see the two actors reunite in this new drama?
In the meantime, watch Seo In Guk and Lee Soo Hyuk in “King of High School” below!
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(Bloomberg) — Advanced Micro Devices Inc. is in advanced discussions to buy Xilinx Inc. in a takeover that could be valued at $30 billion, according to people familiar with the matter.
The deal could come together as early as next week, though things remain in flux, the people said, asking not to be identified discussing a private deal. The Wall Street Journal first reported on the negotiations.
A combination with Xilinx would give AMD Chief Executive Officer Lisa Su more of the pieces needed to break Intel Corp.’s stranglehold on the profitable market for data-center computer components. It would follow moves by rival Nvidia Corp., which bought Mellanox Technologies Ltd. and aims to use its pending acquisition of Arm Ltd. to grab more of that business.
Acquiring Xilinx, which makes programmable chips for wireless networks, would also help AMD expand into a new market just as telecommunications carriers spend billions to build fifth-generation, or 5G, networks.
Xilinx, based in San Jose, California, makes field programmable gate arrays, or FPGAs. That kind of chip is unique because its function can be altered by software, even after it’s been installed in a piece of machinery. Xilinx’s chips have historically been used in telecommunications equipment, but under CEO Victor Peng the company is expanding into products targeted at data centers — where FPGAs can be used to accelerate workloads such as artificial intelligence. The other major supplier of advanced FPGAs is Intel, which acquired its market position through the purchase of Altera Corp. in 2015.
Representatives for AMD and Xilinx declined to comment.
Xilinx shares closed at $105.99 in New York on Thursday. That gives it a market capitalization of $25.9 billion, about a quarter of AMD’s value. Shares of Santa Clara, California-based AMD closed at $86.51. The stock has almost