Monday, March 18, 2013
DJ: Sharp To Postpone New Share Issuance To Qualcomm
TOKYO--Sharp Corp. (6753) said Monday that a second equity investment by Qualcomm Inc. (QCOM) will not take place by the end of March as planned, since the two sides have yet to agree terms in ongoing talks.
The struggling Japanese electronics giant announced on Dec. 4 that it had reached an agreement for an equity investment of up to Y9.9 billion from Qualcomm in a deal envisaging cooperation on displays using a new Sharp liquid-crystal-display technology and Qualcomm's emerging low-power-display technology.
The first round of the new share issuance was completed at the end of December, and was worth Y4.9 billion.
Sharp had announced that the second round would take place by the end of the current fiscal year, but said it is no longer possible to make the March 29 deadline.