Sharp Corp is in talks to finalise a deal to buy Toshiba Corp's personal computer business for around 5 billion yen ($45.7 million), as the Japanese electronics unit of Taiwan's Foxconn seeks to re-enter the PC market, sources said. The two companies are aiming to clinch the deal as early as this week, the sources close to the transaction said. They declined to be identified because the talks are private.
Sharp's return to the PC market, first reported by the Nikkei business daily, marks a rare move among Japanese electronics manufacturers, many of which have exited smartphones, PCs and television sets amid price competition with Asian rivals. Sharp, which withdrew from the PC business in 2010, plans to leverage the vast purchasing network of Foxconn, the world's largest contract manufacturer and major Apple Inc supplier. The Taiwanese company, formally known as Hon Hai Precision Industry Co Ltd, already assembles PCs for other global brands. Toshiba's PC business reported a loss of 9.6 billion yen on sales of 167.3 billion yen in the year ended March.