South Korean optical manufacturer Optis Co., which is in talks to acquire cash-strapped smartphone maker Pantech Co., said Wednesday it has named a former presidential aide as its new head.

Optis said it has named Byeon Yang-kyoon, a former presidential chief secretary for national policy, as the new chief. Byeon worked under late President Roh Moo-hyun in 2006.

Last week, a Seoul court approved the Optis-led consortium's bid to sign a memorandum of understanding for acquisition with Pantech. The two sides are set to complete the deal by July 17.

"Pantech is a firm that can become the No. 1 South Korean player in the global market," Byeon said. "The synergy between Optis and Pantech can be great."

"As small and medium-sized firms in South Korea have faced limits in their growth, it would be advantageous to take opportunities in the overseas market," he added. "The reason I decided to head Optis is because I find it meaningful to make small companies bigger overseas."

Pantech was put under court protection in August 2014, as it faced sales slumps in the midst of growing competition from bigger rivals, such as Apple Inc. and Samsung Electronics, as well as emerging Chinese players that focused on low-end devices.

In May, the company announced it has decided to end its receivership, a move that could have led to liquidation.

Optis, founded by a former Samsung Electronics employee, is one of the country's biggest optical manufacturers that mainly sells optical storage devices. (Yonhap)