- By acquiring a 21.98% stake in residential gateway provider MMC Technology, Humax becomes the largest shareholder and reinforces the company's marketing position of "Home Gateway Server" solutions.
GYEONGGI, South Korea, July 9, 2012 /PRNewswire/ -- Humax (115160.KQ), a global leading set-top box manufacturer, announced that the company has become the largest shareholder of MMC Technology, a residential gateway provider, with a 21.98% stake by acquiring an additional 8.8% stake. In doing so, Humax will enhance the company's "Home Gateway Server" platform, with MMC Technology expertise in Wi-Fi and residential gateway solutions to expand its presence in the residential gateway markets with US service providers.
Humax initially invested in MMC Technology in 2001, and with this additional investment expects to advance its home gateway server technology, develop a next generation set-top box platform, as well as expand the company's business activities in the residential gateway market.
A residential gateway is a system that connects various devices to a home network and also links external access from service providers to support a variety of services, including voice, data, and video.
Humax's strategy is to become a leader in the market by introducing the advanced technology and expertise of MMC Technology in home gateway server market where the existing broadcasting industry has been turning its attention to broadcasting services on broadband technology. Recently, the home gateway server market has been drawing more interest from the advanced broadcasting in US and EU markets which are expected to take off within one to two years.
Furthermore, Humax, along with MMC Technology, plans to enter the emerging market where the demand of residential gateway products is continuously increasing and as the internet penetration rate grows. The company then plans to expand its business to the US, Latin America, and EU markets. MMC Technology's products, which mainly focused on the Korean domestic market, will be able to swiftly enter the global market thanks to the Humax global brand awareness. Humax also has an excellent opportunity to expand its business presence to the residential gateway market.
CEO of Humax, Dae-Gyu Byun, said, "For more than 15 years, MMC Technology has accumulated and established technological expertise in the residential gateway market. This advanced know-how will become leverage for us to find a new market for our home gateway server, which is the next generation set-top box."
MMC Technology, established in 1997, provides Wi-Fi Access Points (AP) and Wi-Fi Modules to major Korean internet service providers (ISP) and navigation manufacturers. The company recorded KRW 17 billion of sales last year, and has KT, SK Telecom, SK Broadband, CJ HelloVision and THINKWARE as major clients.
Humax Co., Ltd. (Humax), founded in 1989 in South Korea, is one of the world's largest manufacturers of digital set-top boxes, exporting its products to over 90 countries around the globe. The company has built a solid reputation as a leading supplier of high quality, feature-rich digital TV set-top boxes and digital video recorders (DVRs), for cable, satellite, and terrestrial, IPTV, and IP-Hybrid broadcasting. Humax is positioned as a leading brand of set-top-boxes in retail markets in UK, Germany, and the Middle East. As a leading brand, Humax participated in the digital switchover projects, Freeview HD and Freesat digital TV service in the UK. Also in 2009, Humax launched the IP-Hybrid platform in Germany. In the Middle East, Humax continues to expand its reputation by leading the HD switchover movement. The company's headquarters and R&D facilities are based in Korea, with 16 subsidiary offices worldwide including UK, US, Germany, France, Dubai, Italy, Japan, India, Thailand, Brazil and Australia. Humax exceeded KRW 1 trillion in revenue in 2010 and employs more than 830 people worldwide. For more information, please visit www.humaxdigital.com.
About MMC Technology
MMC Technology, headquartered in Seoul, South Korea, was founded in 1997 as a provider of residential gateway with high-technology in Wi-Fi network systems. MMC Technology provides products, such as residential gateway and access point (AP) for Wi-Fi hot spot, to domestic major telecommunications and cable companies, as well as Wi-Fi module to smart devices manufacturers, including navigation and industrial PDA. Its major clients are KT, SK Telecom, SK Broadband, CJ HelloVision, THINKWARE. For more information, please visit http://www.mmctech.com
Press Contact: O.J. Kwon
Investor Contact: Joanne Lee