Chinese eyes Japan Display

NHK has learned that officials at struggling panel maker Japan Display are in talks to sell a large stake in the firm to a of Chinese investors. The deal would represent a major turning point for Japan’s once booming panel industry.

Japan Display has been steadily giving up ground to overseas rivals. It posted net losses for the past 4 fiscal years and recorded another net loss in the first half of this fiscal year.

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Sources say the Chinese includes a parts maker and an investment fund. They say the consortium is looking at spending about 440 million dollars to acquire a stake of more than 33 percent in the panel maker.
Separately, it’s considering spending around 4.4 billion dollars to build factories in China that would make products with Japan Display’s technology.

NHK has learned that the Japanese firm’s main shareholder, the public-private fund INCJ, is also considering providing fresh financial support.

Japan Display is aiming to reach a deal by the end of March.

The panel maker was formed through a merger of the LCD panel units of 3 electronics makers.