Sharp Said to be Seeking Financial Assistance from Government-Backed Fund
May 5, 2015 – Bloomberg News reports that shares for Japan-based Sharp Corporation increased the most in more than a year after a person familiar with the matter said Sharp Corporation plans to ask a government-backed fund for help in spinning off part of its liquid-crystal display business.
According to Bloomberg, Sharp is seeking investment from Innovation Network Corporation of Japan to form a subsidiary that will make LCD panels to be used in smartphones and tablet PCs. The proposal however hasn’t been made public.
“Sharp, headed for a third loss in four years, has said it’s considering ‘drastic reform’ as the supplier of displays to Apple Inc. prepares a management plan for release in May. Talks on investment by Foxconn Technology Group have foundered, and bets against the company’s shares rose to the highest level since 2013 last month as the debt-strapped maker of Aquos TVs considers whether to continue rescue talks with Foxconn.
The Japanese government provides most of the funding for Innovation Network of Japan (INCJ). INCJ also obtains support from various companies, which take smaller stakes in INCJ projects.
- April 2015: SHARP SAYS IT CURRENTLY HAS NO PLANS TO SPIN-OFF LCD BUSINESS
- March 2015: SHARP SAYS GLOBAL WORKFORCE LAYOFFS NOT NECESSARILY PLANNED
- March 2015: SHARP SAYS IT WON’T EXIT SOLAR-CELL BUSINESS
- March 2015: SHARP PRESIDENT TO ASK FOR MORE FUNDS FROM LENDERS
- February 2015: SHARP FALTERS WITH LATEST FINANCIAL RESULTS, BUT MFP BUSINESS SEES GAINS
- January 2015: SHARP SELLS U.S. HQ IN MAHWAH, BUT WILL LEASE SITE TO STAY THERE
- November 2014: SHARP REPORTS PROFITABLE FISCAL HALF-YEAR; FORECASTS HIGHER SALES FOR FULL YEAR
- August 2014: SHARP REPORTS SMALLER LOSS FOR QUARTER, ON TRACK FOR PROFIT FOR FULL YEAR
- May 2014: SHARP RETURNS TO PROFITABILITY AFTER TWO YEARS OF LOSSES