Competition among Asia’s makers of liquid-crystal-display panels is set to intensify ahead of an expected rise in demand and a looming supply shortage, analysts say.
Japanese stocks are suffering from concerns of upcoming share offerings that would dilute the value of existing shares, but at least one leading analyst sees these fears as overblown.
Theflyonthewall.com is Wall Street's specialist in breaking equity news. Veteran traders build a proprietary feed of news that's faster and more relevant than any other source. Try us for free and discover for yourself.
Asian markets ended mostly higher Monday, with another record high for gold boosting shares of miners, but Japanese shares made limited gains on concerns about potential capital raisings from banks.
Japanese electronics firm Hitachi plans to raise up to JPY416bn (USD4.64bn) by issuing convertible bonds and new shares to offset debt and fuel spending. The funds will also go towards supporting its infrastructure-based business and to accelerate the restructuring process. ...
“New” GM to Begin Bailout Repayment; Dollar Drops to 15-Month Low, Gold Continues Record Highs; SEC to Investigate Trading Prior to 3Com/HP Deal; Sprint Pays Down Loan, Stock is Upgraded; Canon to Buy Europe’s Largest Printer Maker; Hitachi to Raise $4.6 Billion in Stock and Bond Sale; Cisco Ups Bid for ...
Panasonic Corp. (PC) provided another update on the acquisition of SANYO Electric Co Ltd. (SANYY) at its Board Meeting held on Nov 4, 2009. The company announced the start of its tender offer to acquire 3.1 billion shares of SANYO (or more than 50% of the company’s total shares) for approximately $4.4 billion (403 billion [...]
Panasonic Corp. (PC) provided another update on the acquisition of SANYO Electric Co Ltd. (SANYY) at its Board Meeting held on Nov 4, 2009. The company announced the start of its tender offer to acquire 3.1 billion shares of SANYO (or more than 50% of the company’s total shares) for approximately $4.4 billion (403 billion yen).
Earlier, Panasonic had planned to take over all of Sanyo's shares. Panasonic had entered into a capital and business alliance agreement with SANYO in Dec 2008. The latter is a leading company in the rechargeable battery business focused on lithium-ion rechargeable batteries. Panasonic is one of the leading manufacturers of electronic and electrical products, systems and components.
The tender offer is planned for Nov 5 through Dec 7 at a price of $1.4 or 131 yen per share. Goldman Sachs, Daiwa Securities SMBC and Sumitomo Mitsui Banking Corp. (Sanyo's three major shareholders) holding approximately 70% of total shares have agreed to sell at least a combined 3.07 billion shares to Panasonic.
The Panasonic deal with SANYO is pending regulatory approval but the company said earlier that most of the regulatory hurdles have been taken care of in some countries. Panasonic has so far received the approval of seven regulatory bodies for its proposed acquisition of Sanyo Electric but is still waiting for regulatory approval from the United States Federal Trade Commission, the Ministry of Commerce and the European Commission.
The regulatory bodies were concerned on the growing combined market share of Panasonic and SANYO (approximately 90%) in nickel-metal hydride batteries and cylindrical primary lithium batteries, which will pose a threat to other manufacturers.
To deal with this, Panasonic said that it will transfer to FDK Corporation all the shares of SANYO Energy Twicell Co. Ltd., which conducts the business of rechargeable portable nickel metal-hydride batteries. The share transfer is expected to take place on Dec 21, 2009.
The energy business of SANYO will be added as Energy Solutions to Panasonic’s business, which will further expand its HIT (crystalline silicon) solar photovoltaic cells and modules (batteries) business and accelerate the development and commercialization of next-generation solar cells. By taking over SANYO, Panasonic plans to double production capacity of lithium ion batteries to around 1 million units a year by the middle of 2010.
Panasonic expects the alliance to result in a net profit growth of 80 billion yen in fiscal 2013. Panasonic and SANYO will also set up a ‘Collaboration Committee’, in which Panasonic will invest around 100 billion yen in order to achieve the synergy of both companies.
Management said that Sanyo is expected to become Panasonic's subsidiary by mid-December, bringing greater expertise in two areas – batteries and solar panels.
Panasonic Corp. (PC) plans to restructure its division, Motor Company in April 2010 to enhance growth potential and strengthen its management structure. Upon completion of the restructuring, the motor company will be dissolved.
Panasonic will reorganize and integrate its Home Appliance, Automotive Motor and Industrial Motor Businesses to form the Home Appliances Company [HA] and transfer [...]
Panasonic Corp. (PC) plans to restructure its division, Motor Company in April 2010 to enhance growth potential and strengthen its management structure. Upon completion of the restructuring, the motor company will be dissolved.
Panasonic will reorganize and integrate its Home Appliance, Automotive Motor and Industrial Motor Businesses to form the Home Appliances Company (HA) and transfer the Information Equipment Motor Business to Minebea Motor Manufacturing Corporation.
The company will liquidate Panasonic Motor Matsusaka Co., Ltd., which is Panasonic's subsidiary company, for accelerating manufacturing at other optimal locations after transferring compact AC geared motors and industrial brushless motors to Panasonic Motor (Zhuhai).
Panasonic’s organizational restructuring and its ability to target resources to growth areas have enabled the company to withstand the weak economy. The company aims to strengthen both finished product manufacture and device businesses through company-wide cost reduction efforts, including material costs and fixed costs.
The company has experienced losses in 2009 due to the global economic slowdown, weak consumer spending and slump in electronics sales. To cope with the global slowdown, Panasonic plans to close and integrate 27 manufacturing sites, including 13 in Japan and 14 overseas as part of its restructuring plan. The company also plans to retrench 15,000 employees in Japan , by the end of March 2010.
The tough business environment, global recession and shrinking demand triggered by the financial crisis and changes in market structure have led the company to come out with various restructuring plans.
In fiscal 2010, the company plans to further strengthen its earnings in growing businesses, reform or withdraw its unprofitable businesses, expand its lines of business and accelerate new restructuring initiatives. As a result, the company expects 100.0 billion yen in cost reductions in fiscal 2010.
Panasonic is a leading manufacturer of electronic and electrical products, systems and components for a wide range of consumer, business and industrial uses. Yet, the company faces competition from other large players such as Sony Corp. (SNE) and Hitachi (HIT). Competition also emanates from large international companies such as those in South Korea.
Companies featured in this segment: The Boeing Company (NYSE:BA), Northrop Grumman (NYSE:NOC), Flowserve Corporation (NYSE:FLS), Doosan Heavy Industries and Construction Company Limited (SEO:034020), Hyundai Engineering and Construction Company Limited (SEO:000725), Korea Electric Power Corporation (SEO:015760), Hindustan Petroleum Company Limited (BSE:500104), Technip SA (OTC:TKPPY), Toyo Engineering Corporation (TYO:6330), Toyo Engineering Corporation (TYO:6330), Honeywell International (NYSE:HON), Larsen & Toubro Limited (BSE:500510), Hitachi Corporation (NYSE:HIT), Total SA (NYSE:TOT), GAIL India Limited (BSE:532155), Mangalore Refinery and Petrochemicals Limited (BSE:500109), E.ON AG (OTC:EONGY), OAO Gazprom (OTC:OGZPY), POSCO (NYSE:PKX), Alter NRG Corporation (TSX:NRG)
Companies featured in this segment: Fiat SpA (OTC:FIATY), Ford Motor Company (NYSE:F), E.ON (OTC:EONGY), Hitachi Limited (NYSE:HIT), OAO Gazprom (OTC:OGZPY), Tata Power Company Limited (BSE:500400), Power Grid Corporation of India Limited (BSE:532898), Doosan Heavy Industry & Construction Company (SEO:034020), Toshiba Plant Systems and Services Corporation (TYO:1983), Larsen & Toubro Limited (BSE:500510), PT Bumi Resources Tbk (JAK:BUMI), Reliance Power Limited (BSE:532939), Siemens AG (NYSE:SI), Mitsubishi Heavy Industries Limited (TYO:7011), Daimler AG (NYSE:DAI), General Electric Company (NYSE:GE), Asahi Glass Company Limited (TYO:5201)
Companies featured in this segment: NRG Energy Incorporated (NYSE:NRG), Fluor Corporation (NYSE:FLR), Dresser-Rand Group Incorporated (NYSE:DRC), Southern Company (NYSE:SO), BP plc (NYSE:BP), American Electric Power Company Incorporated (NYSE:AEP), General Electric Company (NYSE:GE), Hitachi Limited (NYSE:HIT), Arch Coal Incorporated (NYSE:ACI); Peabody Energy Corporation (NYSE:BTU), China Petroleum & Chemical Corporation (NYSE:SNP), Total SA (NYSE:TOT), China National Offshore Oil Corporation (NYSE:CEO), The Dow Chemical Company (NYSE:DOW), Foster Wheeler AG (NASDAQ:FWLT), ABB Limited (NYSE:ABB), Boubyan Petrochemical Company KSC (KUW:BPCC), Qurain Petrochemical Industries Company KSC (KUW:ALQURAIN), Technip (OTC:TKPPY), National Bank of Kuwait (KUW:NBK), Kuwait Finance House KSC (KUW:KFIN), Larsen & Toubro Limited (BSE:500510), Oil and Natural Gas Corporation (BSE:500312), Indian Oil Corporation Limited (BSE:530965), E.ON (OTC:EONGY), OAO Gazprom (OTC:OGZPY)
Companies featured in this segment: General Electric Company (NYSE:GE), Hitachi Limited (NYSE:HIT), Areva AstraZeneca plc (NYSE:AZN), Biogen Idec Incorporated (NASDAQ:BIIB), Cameco Corporation (NYSE:CCJ), BHP Billiton Limited (NYSE:BHP), ING Groep NV (NYSE:ING), Rio Tinto (NYSE:RTP), Siemens AG (NYSE:SI), Total SA (NYSE:TOT), HSBC (NYSE:HBC), Toshiba Corporation (TYO:6502), General Electric Company (NYSE:GE), Hitachi Corporation (NYSE:HIT), Korea Electric Power Corporation (NYSE:KEP), Hyundai Engineering and Construction Company (SEO:000720), BNP Paribas SA (OTC:BNPQY), Marubeni Corporation (TYO:8002), Sumitomo Corporation (TYO:8053), Uranium One Incorporated (TSX:UUU), E.ON AG (OTC:EONGY), RWE AG (OTC:RWEOY), Areva SA (EPA:CEI), and GDF Suez SA (EPA:GSZ)
Companies featured in this segment: General Motors Corporation (NYSE:GM), Ford Motor Company (NYSE:F), General Electric Company (NYSE:GE), Ashland Incorporated (NYSE:ASH), ABB Limited (NYSE:ABB), StatoilHydro ASA (NYSE:STO), Green Plains Renewable Energy Incorporated (NASDAQ:GPRE), Hitachi Limited (NYSE:HIT), and VeraSun Energy (OTC:VSUNQ),
© 2009 ALL RIGHTS RESERVED. Industrial Info Resources, Inc.