Business / Corporate

Banks to extend support for struggling Japan Display

JIJI

Three main credit banks for Japan Display Inc. are poised to continue supporting the struggling maker of small and midsize liquid crystal display panels, it was learned Monday.

Mizuho Bank Ltd., Sumitomo Mitsui Banking Corp. and Sumitomo Mitsui Trust Bank Ltd. will extend their commitment line contract with Japan Display, currently set to expire Aug. 7, until the end of December to help the company’s funding, informed sources said.

Unless the contract is extended, Japan Display would have to repay its loans to the banks by that date.

INCJ Ltd., a government-linked investment fund and the largest shareholder of Japan Display, will continue offering guarantees for the loans, the sources said.

The contract for loans of up to ¥107 billion was concluded in August 2017, and a one-year extension until next month was agreed to in August last year.

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