Shares of Sony Corp rose to the highest level in about two weeks in Tokyo trading on expectations of speedier reorganization after CEO Howard Stringer took control of the company’s main electronics business.
Sony, the world’s No. 2 consumer electronics maker, gained 1.4 percent to ¥1,691 (US$17.4) as of the 11am break on the Tokyo Stock Exchange, while the Nikkei 225 Stock Average fell 3.2 percent. It was the stock’s highest level since Feb. 16.
Stringer will take over as president from Ryoji Chubachi April 1, while keeping his current roles, Tokyo-based Sony said on Friday after Japanese share markets closed.
The reassignment of Chubachi, who also headed the electronics division, will allow quicker decision-making at the producer of Bravia TV sets to help turn the TV business profitable, analysts said.
“The management change gives the impression that the company now places higher priority on faster decision making,” Kota Ezawa, an analyst with Nikko Citi Holdings Inc in Tokyo, wrote in a report yesterday.
Ezawa raised his investment rating on Sony to “buy” from “hold” and increased the share-price estimate to ¥2,100.
“Sony had a problem with its speed of making decisions, as represented by the long-standing losses at its TV business,” Nobuo Kurahashi, an analyst at Mizuho Investors Securities Co in Tokyo who rates the company “neutral,” said by telephone.
The management change “will allow the company to make faster decisions at a time of unprecedented economic crisis,” Kurahashi said.
Softbank Group Corp plans to keep a stake in the chip designer Arm Ltd, even if it sells a partial interest to Nvidia Corp, the Nikkei reported. The companies are negotiating terms, the newspaper reported, citing sources. Softbank might take a stake in Nvidia after it buys Arm, the report said. Nvidia and Arm might also merge through a share swap, and Softbank would become a major shareholder in the combined company, it said. The two parties aim to reach a deal in the next few weeks, the sources said, asking not to be identified because the information is private. Nvidia is the
END TO SPECULATION: The hotel’s management contract has been extended, despite reports that it wanted to end its alliance with Hyatt Hotels over a deal with Riant Capital Singapore-based Hong Leong Hotel Development Ltd (豐隆大飯店股份) yesterday said it has extended a management contract to ensure the continued presence of the Grand Hyatt brand in Taipei, ending rumors that the two sides were parting ways. “We are pleased Hyatt is able to come to terms on the extension of the management contract of Grand Hyatt Taipei,” said Kwek Leng Beng (郭令明), executive chairman of City Developments Ltd (城市發展) and Millennium & Copthorne Hotels Ltd (千禧國敦酒店). Hong Leong Hotel Development is a subsidiary of Millennium, and both fall under the Hong Leong Group (豐隆集團). The Grand Hyatt Taipei (台北君悅大飯店), owned and built by
Gold surged to a fresh record on Friday, fueled by US dollar weakness and low interest rates, while silver headed for its best month since 1979. Spot bullion is up more than 10 percent this month, as US real yields lingered near record lows. While the ferocity of rallies in gold and silver cooled in the middle of the week, most market watchers predict there might be more gains ahead. Both metals have added about 30 percent this year, with gold and silver exchange-traded funds boosting holdings to a record, as concern about the fallout from the COVID-19 pandemic fuels demand for
MOVING FROM CHINA? The article did not name the company, but Foxconn, Wistron and Pegatron were among firms chosen for a production-linked incentive plan in India An Apple Inc vendor is looking at shifting six production lines to India from China, which could result in US$5 billion of iPhone exports from the South Asian nation, the Times of India reported, citing people familiar with the matter who it did not identify. The establishment of the facility would create about 55,000 jobs over about a year, the newspaper reported, not naming the Apple vendor. It would also cater to the domestic market and expand operations to include tablets and laptops, the newspaper reported. Samsung Electronics Co and Apple’s assembly partners are among 22 companies that have pledged 110 billion