Taiwan technology giant Foxconn, the world's biggest components maker, said Monday it has invested around $365 million in a South Korean information technology service provider as it looks to diversify its business. The firm, also known by its Taipei-headquartered mother company Hon Hai Precision Industry, said the deal allowed it to obtain a 4.9 percent stake in SK C&C Co, a unit of South Korea's third largest conglomerate SK Group.
"This transaction is a win-win strategic partnership for both of our companies as it brings together a unique combination of capabilities to create synergies that will benefit current operations while also supporting efforts to jointly develop new business opportunities," Hon Hai said in a statement. In the face of growing competition and narrowing margins, Foxconn has been diversifying its businesses into other fields.