Sharp Corp. said Wednesday it will receive a ¥10.4 billion investment from Samsung Electronics Co. and provide the South Korean technology giant with a stable supply of large LCD panels, giving the embattled Japanese firm a needed cash lifeline.
Under the deal, Sharp will sell a 3 percent stake to its Asian rival by issuing new shares later this month. The stake will make it the largest foreign shareholder and the fifth-largest overall.
The announcement of the Sharp-Samsung deal could put to rest growing concerns about Sharp's health, as tieup talks with Taiwanese business partner Hon Hai Precision Industry Co., better known as Foxconn, have stalled.