“Japan’s Sharp Corp has named a top Foxconn executive as CEO and said it would seal a $3.5 billion stake sale to the Taiwanese firm ahead of schedule, as the display maker seeks a return to profit in the face of slowing smartphone sales,” Makiko Yamazaki and J.R. Wu report for Reuters. “Sharp said Foxconn Vice Chairman Tai Jeng-wu will succeed Kozo Takahashi, becoming the first outsider to lead the century-old firm that began making belt buckles and mechanical pencils.”

“For Sharp, a revival beckons under the leadership of Tai, a 30-year veteran of Foxconn, the world’s largest contract electronics manufacturer. Tai has extensive experience running Foxconn’s Shenzhen operations and played a central role in the stake negotiations, people at Foxconn told Reuters,” Yamazaki and Wu report. “‘Tai is No. 2 at Hon Hai. He speaks Japanese. He was selected from a comprehensive perspective,’ Takahashi said at an earnings briefing.”

“Sharp will get a boost from a takeover that would vastly expand sales channels for its displays. In return, Foxconn will gain control of Sharp’s advanced display technology and strengthen its pricing power with Apple Inc, a major client of both companies,” Yamazaki and Wu report. “Sharp also lags South Korean rivals in organic light-emitting diode (OLED) technology, which Apple is widely expected to adopt for future versions of its iPhone devices. But Foxconn chief Terry Gou has expressed preference for Sharp’s strength in indium gallium zinc oxide (IGZO) technology. ‘IGZO is Sharp’s pride,’ said Innolux Chairman H.C. Tuan. ‘I am hopeful we can cooperate with Sharp in this area.'”

Read more in the full article here.

MacDailyNews Take: Hopefully, Sharp can be brought back on track.

SEE ALSO:
Apple supplier Sharp preps AMOLED displays after Foxconn acquisition – April 6, 2016
Did Apple help Foxconn buy Sharp? – March 31, 2016
Apple supplier Foxconn agrees to buy Sharp after slashing original offer – March 30, 2016
Sharp Corp. liabilities list covered worst-case scenarios; takeover talks extended – February 29, 2016
Why Foxconn’s multi-billion-dollar deal for Sharp is dead in the water – February 25, 2016
Foxconn’s $5.1 billion bid for Sharp could be good for Apple, too – February 25, 2016
Apple supplier Sharp accepts Hon Hai’s $6.2 billion takeover offer; Hon Hai says deal on hold – February 25, 2016
Foxconn fast-tracks $5.5 billion Sharp takeover bid – February 4, 2016
State-backed Japanese fund in race with Foxconn to save Sharp – January 21, 2016
Hon Hai considering $1.7 billion stake in Sharp LCD business; to ask Apple to invest a ‘few hundred million’ – September 28, 2015
Hon Hai offers to buy Sharp’s LCD business, wants Apple funds – September 21, 2015
Apple suppliers Sharp, Foxconn in talks for LCD joint venture – August 24, 2015
Beleaguered Sharp’s problems present an opportunity for mighty Apple – May 15, 2015
Apple display supplier Sharp warns on ability to stay afloat after $1.9 billion loss – May 14, 2015
Apple iPhone display supplier Sharp boosts operating profit – August 1, 2014
Sharp dedicates entire LCD plant to Apple – June 30, 2014
Hon Hai in no hurry to finalize Sharp deal – June 26, 2013
Sharp to replace chairman, president after losses – May 14, 2013