Samsung Electro-Mechanics Co., a South Korean industrial parts maker under the country's No. 1 conglomerate Samsung Group, said Tuesday it will spin off a handful of its product lines to focus on its mainstay businesses.

Under the move, Samsung Electro-Mechanics will offload businesses, including the Electronic Shelf Label, a price-displaying system installed on shelves in stores, and tuners that are used to receive digital broadcasting.

"Our company decided to transfer the related staff and assets to a new entity," Samsung Electro-Mechanics said in its regulatory filing, adding it will launch a new company by the end of August where "workers (from the related product lines) become shareholders."

Industry watchers said Samsung Electro-Mechanics will instead focus on high-frequency circuit and optical technology-related products.

Samsung Electro-Mechanics' revenue came to 7.14 trillion won ($6.26 billion) in 2014, with the operating profit reaching 1.7 billion won.

The revenue of the segments to be offloaded is estimated at 600 billion won. Around 500 South Korea-based workers are expected to be relocated to the new entity.

The company said in June it will also suspend the production of hard disk drive motors in line with its restructuring efforts.

Shares of Samsung Electro-Mechanics fell 0.6 percent on the main bourse to 50,000 won, with the benchmark KOSPI edging down 0.11 percent. The announcement was made during Tuesday's trading session. (Yonhap)