Upon completion of the transaction, Megatronics officially merged into the TCL CSOT system

On March 1, TCL CSOT and Fujian Electronic Information Group officially completed the equity transfer. The original Fujian Zhaoyuan Optoelectronics Co., Ltd. was renamed Fuzhou Huazhao Optoelectronics Co., Ltd. and was fully integrated into the TCL CSOT system.

According to experts, Display understands that in November 2025, Fujian Electronic Information Group was officially listed on the Property Rights Exchange Center, bundling and transferring 80% of the equity of Zhaoyuan Optoelectronics and a total of nearly 1.9 billion yuan of debt, with a listing price of 490 million yuan. On December 25 of the same year, TCL Technology’s board of directors reviewed and approved the bidding proposal; the next day, TCL Huaxing was successfully delisted, acquired the underlying assets at the listed price, and became the controlling shareholder of Megatronics.

On the same day, Zhao Jun, senior vice president of TCL Technology Group and CEO of TCL CSOT, Yang Anming, CFO of TCL CSOT, Wang Xiuyi, senior vice president of TCL CSOT, Dou Yan, vice president of TCL CSOT and other leaders, as well as Lu Wensheng, chairman of Fujian Electronic Information Group, Bian Zhihang, general manager of Fujian Electronic Information Group, and Lin Mianjian, director of Fuzhou High-tech Zone Management Committee, attended the delivery ceremony.

Currently, Mini/Micro LED technology has become the core driving force in incremental markets such as ultra-large-screen TVs, high-end commercial displays, and automotive smart cockpits due to its advantages of high brightness, high contrast, and high reliability. However, its development has always faced a core bottleneck: as a core component, the performance, cost and supply stability of LED chips directly restrict the popularity and iteration speed of terminal technology.

For a long time, display module manufacturers and upstream chip manufacturers have been in different camps. Technical collaboration is difficult and the supply and demand matching cycle is long, which has become a common pain point for the industry to move towards high-quality development.

TCL Huaxing’s wholly-owned acquisition of Huazhao Optoelectronics is a precise response to the above-mentioned industry pain points. Huazhao Optoelectronics is not a start-up company, but a key LED chip manufacturing enterprise that has been cultivated by Fujian Province for a long time. Its main business covers the R&D and manufacturing of LED epitaxy and chips. It has formed large-scale production capacity and solid technical reserves in high-value fields such as backlighting, MiniLED direct display, and vehicle lighting. Through this transaction, TCL Huaxing has acquired complete LED chip design and manufacturing capabilities in one fell swoop, achieving vertical integration of the entire industry chain from LED chips to display modules. This means that TCL Huaxing can realize the collaborative design, rapid verification and production capacity linkage of chips and modules on cutting-edge technology routes, fundamentally improving its control over the core technology chain.

As Zhao Jun, CEO of TCL Huaxing, said, this move is aimed at "building a more resilient supply chain system." This is the most profound strategic insight and the most pragmatic security investment for a manufacturing company in a global industrial environment with heightened uncertainty.

The completion of delivery is only the starting point, the real value lies in the subsequent collaborative empowerment.

For TCL Huaxing, it has gained an anchor point for chip manufacturing capacity and a technical interface. This not only ensures the supply security of the high-end display strategy, but also enables the company to directly define the end market demand and the ultimate pursuit of image quality, energy efficiency, and reliability back to the chip design side, thereby accelerating the industrial application of Mini/Micro LED technology in various scenarios.

For Huazhao Optoelectronics, it will integrate into an ecological platform with the world's top customer resources, advanced manufacturing management experience and strong market channels. The refined operations, cost control and quality management systems accumulated by TCL Huaxing in the field of LCD will help Huazhao Optoelectronics optimize its product structure, improve operational efficiency and profitability, and realize the leap from a regional chip manufacturer to a core supplier for the global high-end market.

With the addition of Huazhao Optoelectronics, TCL Huaxing has completed the most critical piece of the upstream puzzle in the field of LED display. We also look forward to the synergy potential between the two parties in terms of technology integration, product innovation and market development, and strive to provide new display solutions with more differentiation and ultimate experience for the Chinese and even global markets.