Canon aims to take majority stake in Tokki - NHK

TOKYO, Nov 13 (Reuters) Japanese camera and office equipment maker Canon Inc is in the final stages of talks to take a majority stake in machine tool maker Tokki Corp, public broadcaster NHK reported on Tuesday.

Canon plans to enter the organic light-emitting diode (OLED) display business by acquiring Tokki, a major manufacturer of tools used to make OLED displays, NHK said.

A Canon spokeswoman declined to comment on the report.

OLED displays use organic, or carbon-containing, compounds that emit light when electricity is applied. Unlike liquid crystal display (LCD) panels, they do not need backlighting, making OLED panels slimmer and more energy-efficient.

Ahead of the NHK report, shares in Canon closed down 1.3 percent at 5,360 yen, while Tokki was down 1.5 percent at 456 yen, underperforming the Nikkei average, which fell 0.5 percent.

REUTERS SLD KP1320