Sharp offers lower price for sale to Foxconn

News General Global 3 SEP 2012
Sharp offers lower price for sale to Foxconn
Japan's Sharp is reportedly offering to lower the price of the 9.9 percent stake it is selling to Foxconn Technology. The companies had earlier agreed that Foxconn would pay JPY 550 per share but Sharp is now offering the shares at an average share price, as its shares have fallen to around JPY 200 due to deteriorating earnings performance, the Nikkei reports. Sharp president Takashi Okuda said the ball was now in Foxconn's court but said he would like to reach a deal as soon as possible. Okuda also said that the delay in negotiations is due to Foxconn's aim to reach an agreement as a complete package, which includes a business alliance. In addition to the stake sale, Sharp is drafting restructuring measures, which will include job cuts, to turn the company's performance around. Okuda expects the company to return to operating profit in the six months from October 2012 to March 2013.

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General

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Sharp,  Foxconn

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Global

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M&A buyouts & divestments

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