Sources have told Reuters that Sharp is talking to Hon Hai about a potential spin-off of its FPD business. The sources said that the new unit would receive investment from Hon Hai, and possible other entities, including the state-directed Innovation Network Corporation of Japan.
Analyst Comment
There have been talks between the two companies before, most recently in 2012 – although these fell through in early 2013 (Display Monitor Vol 20 No 13), when Hon Hai failed to produce the capital for investment. Sharp, for its part, balked at relinquishing control of key decisions. (TA)
