Lenders eye $1 billion credit line for beleaguered Sharp

“Mizuho Corporate Bank and Bank of Tokyo-Mitsubishi UFJ are considering a roughly 100 billion yen ($1 billion) credit facility to help electronics manufacturer Sharp Corp meet an upcoming bond redemption, the Nikkei said,” Reuters reports.

“The banks are close to creating a credit line to ensure that Sharp can meet redemption requests for roughly 200 billion yen in convertible bonds maturing in September, the Japanese daily said,” Reuters reports. “Sharp, which supplies Apple Inc with screens for its iPhone and iPad, will post a bigger-than-forecast net loss for the year ended March 31, in part because low output at its factories forced it to write off excess capacity, two sources with knowledge of the result told Reuters on Wednesday.”

Read more in the full article here.

Related articles:
Sharp to miss March 29 deadline for Qualcomm investment – March 19, 2013
Did Tim Cook just get played? Samsung’s stake in Sharp a threat to Apple – March 9, 2013
Samsung Electronics buys 3% share in Apple-supplier Sharp for $112 million – March 6, 2013
Samsung Electronics may buy stake in Apple-supplier Sharp – March 5, 2013
Analyst: Apple a ‘prime candidate’ to adopt Sharp’s IGZO display technology in future devices – January 8, 2013
Hon Hai’s Terry Gou says investment talks in Sharp still on – December 5, 2012
Qualcomm to invest up to $120 million in Sharp; help with development of IGZO display technology – December 4, 2012
Sharp boosts IGZO display output; shares soar – October 22, 2012
Sharp tips highly efficient ‘iPad min’ IGZO screen tech – October 17, 2012
Is Sharp exhibiting high-res iPad mini IGZO displays? – October 2, 2012
Sharp’s IGZO display production issues forced Apple settle on Plan B for new iPad, says expert – May 7, 2012
Analyst: Retina display production issues persist for Apple iPad – April 23, 2012
Sharp announces production of world’s first IGZO LCD Panels – April 13, 2012
After using Apple’s new iPad with Retina display, old iPad screens become absolutely unacceptable – March 30, 2012
Apple ‘iTV’ beckons as jackpot in Hon Hai’s Sharp gamble – March 28, 2012
Foxconn-Sharp partnership likely targeting Apple orders – March 28, 2012
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Apple to unveil smaller 7.85-inch iPad this year, says anonymous Samsung official – March 13, 2012
Wow, Sharp sure is ramping up IGZO display production for some reason – March 2, 2012
Apple iTV unlikely to launch in 2012 due to IGZO display panel manufacturing concerns, sources say – February 3, 2012


  1. I am at a loss to understand Cook’s long term strategy.

    Apple is trying its damnedest to divorce its supply lines from Samsung, including touch screens for iOS devices and iMac and MacBook IPS screens. And they’re not putting up a single cent to support a viable competitor while at the same time pissing away $100 billion on stock support operations, which by the way only serves to satisfy the vultures on Wall Street.

    Either he’s as blind as a bat or there’s a screw loose rattling somewhere inside his cranium.

    1. Reward long time loyal investors/customers
      Share cash with investors, without incurring import taxes
      Pacify wall street by using their tools to Apple’s bennefit
      Enhance Apple brand by issuing popular bonds
      Cover dividend and buyback debt with sale of bonds
      Show good will all around
      Get on with the focus and business of Apple and remove all the abov distractions from all Apple execs.

    2. While I tend to disagree with BLN on most things, we have found at least one area of agreement. Apple needs to ensure that Sharp remains a viable component supplier going forward in order to reduce the potential risks of its split with Samsung. A substantial investment/ownership in the company with long term supplier contracts might just do that.

    3. BLN,
      The answer is easy. Magic. And if you cannot do magic or have super human powers or can travel to the future, you have to use what is at hand.

      Samsung is a very large company. And most of its parts are not attacking Apple. Also, you want great products which means great reliable components. You do not always get to pick and choose who you will use.

      And yes they are many vultures on wall street, but rumors can hurt you much more than facts. So Tim has to deal with the facts and reality and try to do the best he can.

      Also, remember that for everything you / Tim tries, there is risk. Does the risk outweigh the cost? Look into your future crystal ball and let him know. I am sure he would love to know the future.

      So, there you go.

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