Sharp Corporation of Japan says it is selling off its 9.2 percent shareholdings in Pioneer Corp. Currently Sharp is the largest shareholder on record in Pioneer, with 30 million shares of Pioneer valued at 6.3 billion yen or US$63.80 million.
Back in 2007, the two firms made a partnership to jointly develop consumer electronics products. Now that seems like a luxury to Sharp, a luxury they can’t afford. So Sharp is looking for a buyer. The proceeds of the sale would help pay off Sharp’s corporate debt of $2.14 billion.
Pioneer would continue to retain ten million shares or 0.8 percent shareholdings in Sharp.
Even with the divestment, the two companies would continue to partner on a smaller scale in fields such as optical discs.
Sharp is here: http://www.sharpusa.com