Sony Surprise $3.6 Billion Share Sale Strains Investor Faith
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Sony Corp.’s plan for its first share sale in 26 years is straining investors’ faith in Chief Executive Officer Kazuo Hirai’s ability to deliver on growth promises.
The company plans to raise about 440 billion yen ($3.6 billion) by selling common stock and convertible bonds to help finance an increase in production of image sensors used in smartphones, Sony said Tuesday in a statement. The stock, which has doubled in the past year, dropped the most since September after the announcement yesterday.