Japan's Sharp secures US$1.9b bailout

Tokyo

JAPAN'S Sharp Corp said that it had secured a US$1.9 billion bailout, its second major bank-led rescue in three years, after falling deep into the red as its smartphone display business was battered by competition from Asian rivals.

Mizuho Bank and Bank of Tokyo-Mitsubishi UFJ will inject a combined 200 billion yen (S$2.2 billion) in a debt-for-equity swap, Sharp said in a statement, a move that will buy it time but is unlikely to allay worries about the long-term viability of its display business.