In November we posted a report titled "Foxconn Partners with Innolux on New Display Plant for 2015" showing that the company was full steam ahead for manufacturing display for the iPhone and beyond. Earlier in the year we had reported that Foxconn was attempting to access Sharp's new brilliant backlight technology for future iDevice display. Now Foxconn wants to make a second attempt at acquiring a stake in Sharp in order to gain access to their patented technologies reports Japan's weekly business publication Toyo Keizai.
Two years after a falling out between Hon Hai Precision Industry and Sharp, the Taiwanese electronics manufacturer now intends to begin anew its efforts to acquire a stake in the Japanese company. The full story will be published in Toyo Keizai's upcoming new issue on March 23.
According to the report, Gou intends to make an updated offer to Bank of Tokyo-Mitsubishi UFJ, and Mizuho Bank, the two main banks backing the bailout of Sharp's ailing performance.
Toyo Keizai suggested that its upcoming front-page story will be focused on Sharp's reactions to Hon Hai's "love call."
In July of 2012, Gou in his personal capacity acquired a 50% stake in Sharp's 10th-generation display panel plant situated in Sakai, a city in Osaka prefecture, at the cost of 66 billion yen (US$546.5 million).
The two companies, however, could not agree on the terms under which Hon Hai would acquire a 9.9% stake in the overall company.
According to the report, Hon Hai is expected to resume wooing Sharp as early as before the end of this month, ahead of the expiration of a previously established contract between the companies allowing for a three-year time frame for their union.
It is also growing unlikely for Sharp to achieve the projected profits of 80 billion yen (US$666.5 million) in fiscal year 2015, which ends on March 2016.
Gou said through a statement that his investments in Sharp are aimed at gaining a role in the Japanese firm's management, and achieving other win-win situations for both parties, such as cross-licensing and the transferal of patented technologies.