(Yicai Global) Aug. 31 -- Shares of TCL Technology Group jumped to a historic high after the Chinese liquid crystal display maker said that its unit will take control of Samsung Electronics's production lines in Suzhou, which could help it become the world's largest manufacturer of LCD TV screens.

TCL's stock price [SHE:000100] jumped as much as 8.6 percent to CNY7.34 (US1.10) this morning, the highest ever. The Huizhou-based firm went public in January 2004.

TCL China Star Optoelectronics Technology will buy a 60 percent stake in Samsung Suzhou LCD and all of Suzhou Samsung Display's equity for USD1.1 billion in total, the buyer said in a statement on Aug. 28.

But the South Korean electronics giant would still take a cut of the profits. Samsung Display will pay USD739 million to become TCL CSOT's second-largest shareholder with a 12.3 percent stake, the statement added.

South Korean companies are moving onto the next thing, organic light-emitting diode displays, while accelerating their exit from the LCD sector which has suffered from major price cuts since the second half of last year.

TCL CSOT was No. 2 in global LCD TV panel shipments in the first half, falling only behind China's BOE Technology Group. With the Samsung purchase, it could expand its market share and widen its product portfolio by computer displays.

TCL's net profit fell 2 percent to CNY1.2 billion (USD175 million) in the first half from a year ago while its revenue rose 12 percent to CNY29.3 billion (USD4.3 billion), according to its earnings report published on Aug. 28.

Editors: Zhang Yushuo, Emmi Laine