TAIPEI (Taiwan News) — Delta Electronics Inc. announced on Monday that it will acquire the remaining shares of its subsidiary Vivotek Inc. for NT$3.7 billion (US$119 million) to streamline operations and strengthen its smart building integration.

The board approved a share swap, offering NT$100 per Vivotek share, a premium of about 16.8% over Monday’s closing price. Once finalized, Vivotek will become a wholly owned subsidiary of Delta and be delisted from the Taiwan Stock Exchange, according to Ettoday.

The share conversion is scheduled for March 27, with shares automatically exchanged for cash. Shareholders will not have the option to receive Delta stock, according to Pocket Securities.

Vivotek, a leading Taiwanese security company, was ranked 14th globally in the security and surveillance sector in last year’s Security 50. Delta has been its largest shareholder since 2017, holding roughly 57% of shares, and has integrated Vivotek into its building automation business.

The privatization aims to accelerate decision-making, strengthen smart building integration, and allow Delta to allocate resources more flexibly. Full ownership will enable tighter integration of Vivotek’s security technology with Delta’s lighting and energy management systems, support broader artificial intelligence of things solutions, and improve overall group efficiency.

Delta Chair Cheng Ping (鄭平) said smart building solutions are a key long-term growth focus. He added that the acquisition will accelerate product development, enhance competitiveness, and reinforce the company’s technology position.

Vivotek Chair Luo Yong-jian (羅永堅) noted that the company has been investing in AI, image recognition, and edge computing. He said privatization will allow Vivotek to use Delta’s research and development, production, and global sales channels more flexibly, speeding up innovation and market expansion.