On November 14, Sharp announced its decision to sell its subsidiary Kangdazhi to Yonghui Commercial. It plans to sell about 99% of Kangdazhi's shares to Yonghui Commercial on November 30. After that, Sharp's shareholding in Kangdazhi will only be about 1%.
Sharp pointed out that Kangdazhi is engaged in the manufacturing and sales of smart phone lenses and other products. However, due to fierce competition, Kangdazhi's performance is sluggish, while Yonghui Commercial is engaged in the trading business of electronic parts, semiconductor sensors and other products, and has strong sales channels in China. Therefore, in order to improve Kangdazhi's performance, selling it to Yonghui Commercial is the best choice.
Sharp equips its own smartphone products with Codaz lenses. After selling Codaz, Sharp will still maintain its cooperative relationship with Codaz in terms of research and development and procurement.
It is reported that in June 2021, Kangdazhi announced that it would sell all the shares held by its subsidiary Lianyungang Kangdazhi Precision Technology Co., Ltd. to the Chinese company Liaoning Zhonglan Electronic Technology Co., Ltd. (ZET). Zhonglan Electronics is a large-scale voicecoil motor manufacturer in China. Since the company is planning to expand its lens business, it decided to buy the Lianyungang company from Kangdazhi.