Foxconn Approve Spending $ 5.3 Billion To Takeover Sharp

Recently, Foxconn has made aggressive plans to acquire the famous electronics company in Japan. The value of this transaction is scheduled for Foxconn about $ 5.3 billion USD, much higher than the figure of $ 2.5 billion USD that fund the government's Innovation Network Corp of Japan launched.

Currently, Sharp owns panel production technology for leading mobile devices today and of course, Apple also is one of its major partners. Sharp and Japan Display have a close relationship and regular upgrades, share technologies, manufacturing techniques screen panels new generation in recent years. The Japanese government is very serious about retaining Sharp instead to fall into the hands of Foxconn, a technology company in China.

Earlier, Foxconn has announced plans to buy 10% shares of Sharp in 2013, however, the shares of Japanese companies declined led discourage new firms. Things start to become worse with Sharp since then, total debt increased and sustained production plan are encountering difficulties. In the last 6 months, Sharp losses to $ 215 million USD.

Regardless of which company owns Sharp have incurred a huge debt. Still, Foxconn is very confident in his plan, and the technology that Sharp owns very beneficial for Chinese companies in the future. Besides, Foxconn promised to keep Sharp's management apparatus at the present time. This is considered a reassuring move for senior officials of Japan.

Sharp is expected to make a decision about its future in the income statement in the next 4/2 days.

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