Samsung to invest $111.5 million in Sharp

PanARMENIAN.Net - Samsung Electronics Co. said Wednesday, March 6 it will invest 10.4 billion yen ($111.5 million) in Sharp Corp. to secure a supply of large-size LCD panels, AP reported.

The agreement gives Samsung a 3 percent stake in Osaka-based Sharp and a supply of large-size LCD panels for televisions. Samsung said in a statement that the investment will help strengthen Sharp's LCD panel business. The South Korean company known for its Galaxy smartphones and tablets said it will not be involved in Sharp's management.

The alliance is a boost for the troubled Japanese company that has been seeking to raise capital as part of its turnaround plans. The maker of Igzo display panels and Aquos TVs has struggled to stay afloat as competition from South Korean and Chinese TV makers squeezed Japanese manufacturers and their ability to make the big capital investments needed in the hyper competitive LCD industry.