Sharp Corp. plans to spin off its business for small and midsize liquid crystal displays by having a government-backed fund invest around ¥100 billion in the new subsidiary by the end of next March, sources close to the matter said Sunday.
The sources said the struggling electronics maker has already sounded out Innovation Network Corporation of Japan, an investment fund set up with public- and private-sector funding, about spinning off its core LCD panel business.
Sharp has set up an internal team to spin off the business and plans to make it part of a new medium-term management plan to be unveiled in May, the sources said. Sharp's main lenders have apparently consented to the move.