Word has it Samsung and Sharp are in talks over a possible investment on Samsung's part into Sharp Corp. to the tune of $110 million. By doing this, both companies will benefits, with Sharp gaining a significant financial boost and Samsung gaining a 3-percent stake in the company. This information was provided by three sources said to be familiar with the situation.
According to the sources, the talks are in late stages, with Samsung likely to make the investment. Aside from the obvious gains, this partnership would be noteworthy on several levels, bringing together two companies from rivaling countries, both with their own consumer electronics powerhouses. Samsung is a Korean company, while Sharp is a Japanese company.
This would come at a time when Sharp has both suffered financially and has seen a drop in production of displays for the iPad as demand is refocused to the iPad mini, a device Sharp does not supply components for. Sharp's spokesperson offered a decidedly ambiguous response to the rumors, reports Reuters: "This news is not something that has been announced by the company."
Word has it the deal will officially be announced sometime today. This follows an investment into Sharp by Qualcomm late last year to the tune of $120 million. For its part, the two companies would join forces to develop energy-efficient IGZO-technology displays. Stay tuned, and we'll be sure to keep you updated when we know more.