Sharp has found its suitor to help the company out of its financial rut. And even after Foxconn watered down its offer after surveying even more of Sharp’s financial liabilities it didn’t learn about earlier, it looks like the offer was something the Japanese electronics manufacturer couldn’t refuse.
Sources for Reuters have relayed that Sharp will officially accept Foxconn’s takeover bid, now worth in the neighborhood of ¥400 billion, down from the previously reported ¥489 billion ($4.3 billion) and once valued at ¥700 billion ($6.1 billion).
Both companies will hold board meetings on Wednesday and the two will meet to sign documents Thursday. Even with that precipitous drop in value, the deal’s expected to be the largest foreign acquisition in Japan’s tech sector.
As one of Apple’s largest contracted vendors, Sharp may benefit from Foxconn ownership with a cash infusion to get its production lines ready for OLED displays destined for future iPhones. Foxconn also is looking to build an OEM brand for itself.