Sony to invest in troubled Olympus: reports

Japan's Sony will inject about $623 million into troubled Olympus as the camera and medical equipment maker rebuilds its finances after a massive cover-up scandal, reports said Friday.

The 50-billion-yen deal would make Sony the single biggest Olympus shareholder with more than 10 percent of its stock, according to the Nikkei business daily, public broadcaster NHK and other Japanese media.

The Nikkei said the firms are planning to reach a final deal by next month, but the two firms declined to comment on the story.

The latest reports come after earlier stories pegged Sony, rival Panasonic and Fujifilm among the likely candidates to invest in the scandal-hit firm.

Olympus has announced a major overhaul that includes cutting about seven percent of its workforce, while its new chief has publicly said he is seeking a capital injection to shore up its finances.

Olympus's reputation, and Japan's corporate governance image, were badly damaged after its British former chief executive blew the whistle last year over $1.7 billion worth of losses that the company had moved off its balance sheet.

The firm initially denied allegations it had used past acquisitions and outsized consultant fees to hide the huge losses dating back to the 1990s, but eventually admitted wrongdoing.

In March, the company and three former senior executives -- including ex-president Tsuyoshi Kikukawa -- were charged over their role in the scandal.

The reports on Friday said Sony, which itself is struggling after posting a record loss in its latest fiscal year, may want to team up with Olympus on camera technology and its medical equipment business.

Best known as a camera maker, Olympus is also a leader in the health care field -- including a near two-thirds share of the global endoscope market -- which Sony has said it would expand as part of its own overhaul.

Olympus has been searching for a potential investor as its balance sheet deteriorated since the accounting scandal, reporting a net loss of 48.99 billion yen in the fiscal year to March.

The company's shares rose 1.7 percent on Friday to 1,190 yen in Tokyo trade.

Loading...

Editor’s note:Yahoo Philippines encourages responsible comments that add dimension to the discussion. No bashing or hate speech, please. You can express your opinion without slamming others or making derogatory remarks.

  • The Race to Global Greatness - YGP6
    The Race to Global Greatness - YGP6

    Yamaha Motor Philippines (YMPH) recently held the first leg of the Yamaha Grand Prix 6 at the SM Sta. Rosa compound in Laguna. The racing categories for this year are the following: Automatic Inter-Club RaceUnderbone Inter-Club Race115 Superstock ATVega Force i SuperstockSniper 150 Open UB130 Open UBMio 125 MX i …

  • Volkswagen opens new showroom along Quezon AvenueVolkswagen opened a new showroom along Quezon Avenue, …
    Volkswagen opens new showroom along Quezon AvenueVolkswagen opened a new showroom along Quezon Avenue, …

    Volkswagen opened a new showroom along Quezon Avenue, which is now the automotive row of Northern Metro Manila.At the Innauguration was Chief Operating Adviser Klaus Schadewald, Branch Manager Bob Anthony Palanca, Volkswagen Philippines: President and CEO John Philip Orbeta and General Manager Nemesio Solomon, Jr. This new showroom has the latest Volkswagen Interactive Showroom applications. ... …

  • Nissan launches its “Virtual to Reality” GT Academy here in the Philippines
    Nissan launches its “Virtual to Reality” GT Academy here in the Philippines

    The Filipino Gran Turismo gamer just became eligible to become a Pro Race Car driver as Nissan Philippines Inc. launched its GT Academy here in the Philippines. The object is to find the best Grand Turismo players in both the online qualification process and participating in the live events after which they’ll compete with each other in National Finals to see who gets to attend the 3 month Race camp.  The winner gets to stay in the UK near Silverstone and will take part in UK national and club …

  • Osmeña wants electricity exempted from VAT
    Osmeña wants electricity exempted from VAT

    Sen. Sergio Osmeña III wants electricity to be exempted from value added tax under a proposed measure that will amend the National Internal Revenue Code of 1997 and the Reformed VAT Law. He said the move aims to ease the burden of the public in paying high electricity rates in the country. “VAT on electricity is another burden on the already over-taxed shoulders of our people, especially those whose incomes are barely enough to cover their basic needs. Osmeña, chairman of the Senate …

  • No lotto draws starting tomorrow until Easter Sunday
    No lotto draws starting tomorrow until Easter Sunday

    No lotto tickets will be sold and no lotto draws made starting tomorrow, Maundy Thursday, up to Easter Sunday in observance of Holy Week. In a statement, Jose Ferdinand Rojas II, acting Philippine Charity Sweepstakes Office (PCSO) chairman and general manager, said the selling of lotto tickets and lotto draws will resume on April 6,  Monday. “We thank all Lotto players for your trust and confidence in the PCSO games, and we count on your continued support of our efforts to raise funds for …

  • Quake rocks C. Visayas
    Quake rocks C. Visayas

    A magnitude-3.2 earthquake rocked parts of Central Visayas yesterday. State seismologists said the quake was an aftershock of a powerful tremor that hit the region in 2013. The Philippine Institute of Volcanology and Seismology (Phivolcs) said the quake occurred at 7:54 a.m. Its epicenter was located 10 kilometers  southeast of Buenavista, Bohol. Phivolcs director Renato Solidum said the quake was an aftershock of the magnitude-7.2 earthquake that hit Bohol on Oct. 15, 2013. …

  • Super howler nears Phl
    Super howler nears Phl

    A typhoon that has devastated islands in the Pacific is forecast to become a category 5 monster howler as it barrels toward the Philippines this week. The Philippine Atmospheric, Geophysical and Astronomical Services Administration (PAGASA) said Maysak will be named Chedeng when it enters the Philippine area of responsibility tonight or tomorrow morning. In an interview, PAGASA weather forecaster Gener Quitlong said the forecast track of Maysak may still change depending on the movement of …

  • Philips Gold finally shines

    Philips Gold made 11 service aces on its way to beating Mane ‘N Tail, 25-19, 27-25, 25-16, for its first victory in the Philippine Super Liga (PSL) All-Filipino Coinference Monday night at The Arena in San Juan.Former College of St. Benilde standout Rossan Fajardo had six aces as part of her 10-point output as the Lady Slammers finally barged into the win column after losing their first two matches.Ex-National University star Myla Pablo led Philips Gold with 14 points highlighted by 12 kills, …

POLL

Should Aquino be held accountable over the Mamasapano operations?

Loading...
Poll Choice Options