dannycoleman77: Hon Hai Precision snaps up 10 percent of Sharp in display tie-up

Tuesday, March 27, 2012

Hon Hai Precision snaps up 10 percent of Sharp in display tie-up

For those unaware, going at it alone in the cutthroat display business isn't exactly a recommended business approach. To wit, Sharp -- once a mainstay in the LCD industry -- has just sold an approximate 10 percent stake of itself to Taiwan's Hon Hai Group. Sharp will be issuing new shares worth $808 million to Hon Hai Precision Industry Co., and we're told that it'll go down as the largest investment ever in a Japanese company by a Taiwanese one. Moreover, Hon Hai will grab half of Sharp's 92.96 percent stake in its LCD panel factory in Sakai, Japan. Though it may not be obvious, seeing Sharp accept this fate is hugely symbolic, and it's happening just as the company gets ready to eat "multibillion-dollar losses" for this fiscal year -- which just so happens to be the 100th anniversary of its founding. Sharp executive managing officer Takashi Okuda said this during a news conference in Tokyo: "We have tried to do everything by ourselves, but the environment is tough." Here's hoping for a better tomorrow, though.

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Hon Hai Precision snaps up 10 percent of Sharp in display tie-up originally appeared on Engadget on Tue, 27 Mar 2012 11:44:00 EDT. Please see our terms for use of feeds.

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