Your browser is not Javascript enable or you have turn it off. We recommend you to activate for better security reasonFoxconn confirms Sharp takeover, gains access to display tech - FlatpanelsHD

Foxconn confirms Sharp takeover, gains access to display tech

30 Mar 2016 | Rasmus Larsen |

One month ago, Sharp announced that it had been acquired by Foxconn. However, Foxconn had not yet signed the agreement. They have now and Foxconn has agreed to acquire 66% of Japanese Sharp at a greatly reduced price. Foxconn will gain access to Sharp's advanced LCD display manufacturing and display tech.

Foxconn takes over Sharp

Sharp was founded over 100 years ago and has a rich tradition in consumer electronics. Sharp was also the first Japanese manufacturer to produce a TV screen. However, in recent years Korean and Chinese brands have taken over.

Taiwanese Foxconn - or Hon Hai - is the world's largest contract manufacturer. They assemble products such as Apple iPhone, Sony PlayStation, Microsoft Xbox, Amazon Kindle and many more. And with today’s deal they are hoping to sell in-house products under the Sharp brand.

Foxconn also gains access to Sharp’s display manufacturing plants and expertise. Sharp has one of the world’s most advanced LCD display manufacturing setups, including a 10th generation LCD factory. This factory can produce the world’s largest LCD displays of 100 inches and larger. Sharp has supplied LCD panels to its electronics division for use in Sharp TVs as well as other companies such as Apple. Sharp has also been researching OLED technology.

Foxconn wanted Sharp in 2012

Foxconn has shown interest in taking control over Sharp since 2012. With the deal Sharp is one of the few Japanese electronics giants to fall into foreign hands.

On February 24, 2016 Sharp publicly announced that a deal with Foxconn had been reached. However, Foxconn had yet to sign the papers. It took another month for the two companies to iron out the last details. Today, they have announced that Foxconn will acquire a controlling 66% stake in Sharp for 88 yen per share. On 24 February, Sharp traded at 118 yen per share.

This means that Foxconn will pay 398 billion yen ($3.5 billion USD) instead of the previous 700 billion yen ($6.24 billion USD). In 2012, Foxconn would have had to pay more than six times the amount.

What will become of Sharp is still unclear. The license to sell Sharp-branded TVs have already been sold to other parties. It appears that Foxconn is interested in selling electronics products under the Sharp brand but the main reason for the takeover appears to be a plan to vertically integrate itself into display manufacturing.

- Source: Bloomberg

Latest news

Lord of the Rings

'The Lord of the Rings' trilogy now available in 4K Dolby Vision & Atmos

02 Dec 2020 | Rasmus Larsen |
Wonder Woman 1984

'Wonder Woman 1984' will be the first movie in 4K HDR & Atmos on HBO Max

02 Dec 2020 | Rasmus Larsen |
Beovision Eclipse mk2

New OLED TVs from B&O: 'Sound/design is what we do best'

30 Nov 2020 | Per Fanefjord Laursen |
Apple TV app on Sony TV

Sony starts rolling out Apple TV app on 2020, 2019 & select 2018 TVs

27 Nov 2020 | Rasmus Larsen |
Sony Z9G ZG9 4K120

Sony ZG9 (Z9G) now supports HDMI 2.1 4K120 for PlayStation 5

27 Nov 2020 | Rasmus Larsen |
TVOS App Store

Samsung planning to launch QD-OLED monitor

26 Nov 2020 | Rasmus Larsen |
Black Friday

Black Friday 2020: Best deals on TVs, media players, TV audio, more

26 Nov 2020 | Flatpanels |

YouTube 8K now streaming on Android TVs (with Android 10, AV1)

26 Nov 2020 | Rasmus Larsen |