|
Sharp mulls selling new shares to raise 100 bil. yen
(Japan Economic Newswire Via Acquire Media NewsEdge) TOKYO, March 8 -- (Kyodo) _ Struggling Japanese electronics maker Sharp Corp. is considering raising around 100 billion yen through a public stock offering to help it repay 200 billion yen in debt due in September, sources close to the matter said Friday.
The company's main creditor banks, however, questioned the feasibility of the plan, pushing Sharp to consider other ways of raising capital such as reducing the amount of new share sales as well as issuing preferential shares or subordinate bonds, the sources said.
Rating agencies have cut Sharp's rating to levels considered speculative, which has made it difficult for Sharp to raise money through issuing new bonds.
The company has formed capital alliances with U.S. telecommunication giant Qualcomm Inc. and Samsung Electronics Co. of South Korea, but receiving around 10 billion yen in investment from each would not be enough.
As Sharp is facing difficulty obtaining a nod about the plan from the main creditor banks of Mizuho Corporate Bank and the Bank of Tokyo-Mitsubishi UFJ, it may have to postpone to April announcing its medium-term management plan, which is slated for March, the sources added.
(c) 2013 Kyodo News International, Inc.
[ Back To Technology News's Homepage ]
|
Internet Telephony Magazine
Click here to read latest issue
CUSTOMER 
Cloud Computing Magazine
Click here to read latest issue
M2M Evolution Magazine
Call Center/CRM
Info Tech 
IP Communications 
Mobile 
Green 
Satellite 
Robotics 
