WORRIES UNFOUNDED?Liabilities through layoffs or restructurings will be far less than the potential US$2.6 billion that forced the postponement of the acquisition
Date: Mar 05, 2016
Foxconn Technology Group (富士康) and Sharp Corp are aiming to sign their US$6 billion takeover agreement as early as Monday after deciding the deal will not require major changes, according to people familiar with the matter.
The two sides have been going through a list of potential liabilities and concluded they will be much less than initial concerns that they could exceed ￥300 billion (US$2.6 billion), said the people, who asked not to be identified because the matter is private.
That would pave the way for Foxconn — known as Hon Hai Precision Industry Co (鴻海精密) in Taiwan — to proceed with its proposed deal of paying about ￥500 billion for a majority stake in Sharp, along with additional payments for preferred shares. [FULL STORY]