Sharp Sells Stake to Hon Hai in Watershed for Japan Tech Sector
Sharp Corp., once a proud titan of Japan’s electronics industry, said Tuesday it would sell nearly a 10 percent stake to Taiwan’s Hon Hai Group, and struck an accord with its new shareholder to shake up its core — but loss-making — liquid crystal display panel operations.
Sharp will issue new shares worth ¥66.91 billion ($808 million) to Hon Hai Precision Industry Co. and its group companies in the biggest investment ever in a Japanese company by a Taiwanese one. Hon Hai, the world’s largest contract maker by revenue of electronic products, will also take half of Sharp’s 92.96 percent stake in its LCD panel factory in Sakai, western Japan.
