Sharp Notice Regarding Termination of the Subscription Payment Term of Third
Party Allotment to Hon Hai Precision Industry and Other Companies
Osaka, Mar 26, 2013 - (JCN Newswire) - Sharp Corporation ("Sharp")
passed a resolution at the board of directors meeting held on March 27, 2012 to
(i) form a business alliance with Hon Hai Precision Industry Co., Ltd.
("Hon Hai"), (ii) issue new shares through a third-party allotment to
four companies of Hon Hai group ("Capital Increase Through Third-Party
Allotment"), and (iii) enter into a capital and business alliance with
four companies of Hon Hai group ("Capital and Business Alliance").
However, please be informed that the subscription payment ("This
Payment") from the allottee of Capital Increase Through Third-Party
Allotment was not executed by today (March 26, 2013) the last day of the term
of This Payment, mainly due to the reason that the approval for the Capital
Increase Through Third-Party Allotment from the relevant authorities could not
Regarding the investment, purpose of the proceeds from the Capital Increase
Through Third-Party Allotment, aimed at the enhancement and rationalization of
manufacturing facilities of LCDs for mobile devices as well as the
implementation of new LCD technologies, Sharp will continue to execute it by
reviewing on the amount and term, and examining the possibility of other way of
funding due to the unfulfillment of This Payment.
The unfulfillment of This Payment will not have an impact on Capital and
Business Alliance other than Capital Increase Through Third-Party Allotment.
The business alliance with Hon Hai has achieved considerable progress mainly by
joint management of Sakai Display Products Corporation ("SDP"),
making stable operation and strengthening cost competitiveness of the plant by
both companies to procure LCD panels produced in SDP.
For the details of this Capital and Business Alliance, please refer to the
news release "Issuance of New Shares Through Third-Party Allotment
Associated with Business Alliance and Partial Transfer of Shares in
Subsidiaries" issued on March 27, 2012.
Sharp Corporation (TSE: 6753) is a worldwide developer of innovative products
and core technologies that play a key role in shaping the future of
electronics. As a leader in liquid crystal displays (LCDs) and digital
technologies, Sharp offers one of the broadest and most advanced lines of
consumer electronics, information products and electronic components, while
also creating new network businesses. For more information, please visit
Corporate Public Relations Division
Phone: +81-6-6625-3006 (Osaka)
Phone: +81-3-3260-1870 (Tokyo)
Copyright 2013 JCN Newswire. All rights reserved. www.japancorp.net
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