Nikkei: Panasonic to sell 60% of TV plant for ~$97M


The Nikkei reports Panasonic (PCRFY) plans to sell 60% of a 120K-sq. meter Japanese TV plant to Daiwa House Industry by next spring for ~¥10B ($97M).

Panasonic is also thinking of selling the rest of the plant to other buyers. No TVs have been made there in 2012, but the facility is still used for maintenance work (among other things).

The struggling electronics OEM has already been busy restructuring. It recently transferred 3 chip manufacturing plants to a 49/51 JV owned in partnership with Israel's TowerJazz (TSEM). Panasonic received 870K TowerJazz shares (current value of $8.2M) in return.

The efforts are yielding results: Panasonic expects to end the current fiscal year (ends March '15) with no net debt for the first time in 6 years.

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Comments (5)
  • David at Imperial Beach
    , contributor
    Comments (4382) | Send Message
     
    Sounds like they're raising cash to participate in the Tesla gigafactory.
    20 Jun 2014, 09:33 PM Reply Like
  • Mr. Cat
    , contributor
    Comments (292) | Send Message
     
    Yeah! Sounds like they are removing all the debt they have for a long long time so that they can build it all over again to seize the opportunity given to them by tesla.
    21 Jun 2014, 10:28 AM Reply Like
  • Burgholte
    , contributor
    Comment (1) | Send Message
     
    Panasonic and other Japanese television makers need to advertise their picture quality characteristics over their Korean and Chinese rivals if they want to stay longer in that game, consumers are more fickle than ever before.
    21 Jun 2014, 08:43 AM Reply Like
  • Stockatiel
    , contributor
    Comments (16) | Send Message
     
    I wouldn't say they are struggling. They have positive net income and earnings.
    21 Jun 2014, 06:12 PM Reply Like
  • Stockatiel
    , contributor
    Comments (16) | Send Message
     
    I think the stock is headed to 15 dollars. Long PCRFY.
    21 Jun 2014, 06:13 PM Reply Like
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