Eastman Kodak Company has reached an agreement with Lucky HuaGuang Graphics Co. Ltd (HuaGuang) to form a strategic partnership in the People’s Republic of China, including Taiwan, Hong Kong SAR, and Macau SAR. China is witnessing a growing demand for resource-efficient solutions, and formulating a relationship with HuaGuang, one of the leading graphic players in the region, Kodak is hoping to increase the expansion of its SONORA plates in China substantially. The recently announced relationship will include an agreement requiring Kodak to sell its offset printing plates unit located in Xiamen, China to HuaGuang, an IP agreement providing HuaGuang licenses to Kodak’s technology to grow its business in China, and a supply agreement for HuaGuang to assist Kodak in fulfilling its current customer demand.
The relationship will be benefitted from the collective strength of HuaGuang’s market leadership and cutting-edge Kodak technologies in China. The partnership builds upon Kodak and HuaGuang’s long-standing relationship, having already collaborated in several different business models and cooperative ventures that are decades old, and have built a mutual trust and respect. Kodak will retain its existing go-to-market structure in China and will work to increase SONARA volumes, simultaneously with the growing sales of the full portfolio of Kodak solutions. The partnership is chalked down for establishment in the third quarter of this year, subject to customary closing conditions.
John O’Grady, Senior Vice President of Kodak, has commented that the endorsement of SONORA by one of the most significant players in the sector indicates the strength of Kodak’s technology. O’Grady added that they will work with HuaGuang to advance the conversion of China’s print market to process free plates and provide assistance to industry customers in minimizing their environmental footprint. Mr. Zhang, Tao, President, HuaGuang, has said that Kodak is a well-known company in the process field and the partnership will expedite the conversion of offset plates for the processing of free plates in the region.