Sharp Underscores Financial Independence from Hon Hai

Economy

Tokyo, June 11 (Jiji Press)--Sharp Corp. <6753> Chairman and President Tai Jeng-wu on Tuesday underscored the importance of his company's financial independence from Hon Hai Precision Industry Co.

Sharp will seek no support from the parent company for funds for merger-and-acquisition activities, Tai told a briefing in Tokyo.

The Japanese electronics maker said Tuesday that it will buy back for cancellation the remainder of the 200,000 preferred shares it issued at the time of its business crisis in 2015.

It plans to purchase the remaining 110,000 shares on June 21 from Mizuho Bank and MUFG Bank for a total of 97 billion yen.

The preferred shares have had a huge impact on the management of Sharp, Tai said, indicating that the cancellation of the securities with heavy dividend costs will help improve the company's financial stability.

[Copyright The Jiji Press, Ltd.]

Jiji Press