Eastman Kodak says it will not acquire Lucky, but has increased its share in China's largest national film brand to 20%, China Radio International reported on Monday.

Earlier, Kodak gained another 7% share of Lucky by transferring its factory in south China's Shantou city according to a cooperation deal, triggering wide speculation of its potential acquisition of Lucky.

Kodak CEO Dan Carp denied the notion, adding that its competition with Lucky will enlarge China's photography market, which is more important than acquisition.

The deal between Kodak and Lucky was approved by China's Ministry of Commerce this February.

It allows Kodak to gain a 20% share in Lucky by paying 45 million US dollars and transferring some of its assembly lines and technologies.

Lucky is facing huge challenges in the film paper business and its prospects are further questioned as it reported an over 5% profit decrease in the first half of this year.

CRIENGLISH.com