Sharp to raise up to ¥166 billion

Kyodo

Sharp Corp. on Wednesday said it will raise up to ¥166.4 billion through a third-party allotment and public stock offering in October to boost its financial footing, which has been hurt by its flagging television business.

Sharp plans to raise as much as ¥148.9 billion through a public stock offering and the remaining ¥17.5 billion will be covered by a third-party allotment to companies to which it has business ties.

Makita Corp. will invest around ¥10 billion, Lixil Group Corp. roughly ¥5 billion and Denso Corp. ¥2.5 billion.

At the same time, Sharp revised upward its earnings forecast for the April to September period, citing improved sales of liquid crystal display panels for smartphones and tablet computers as well as better-than-expected solar cell business in the Japanese market.

The company now expects to post a consolidated operating profit of ¥30 billion, up from ¥15 billion projected earlier, and sales of ¥1.31 trillion, compared with earlier-forecast ¥1.27 trillion. Its group net loss is expected to narrow from ¥20 billion to ¥10 billion.

It kept intact its full-year earnings forecast.