Foxconn Acquires Sharp for $3.5 Billion

Foxconn, the company that manage and operates all Apple, Samsung, HP production lines, has acquired Sharp for $3.5 billion.

Touted by TechCrunch as the the largest overseas acquisition of a Japanese company, Foxconn has finally sealed the deal. Sharp had previously rejected the bid from Netwok Corp, a Japanese company and announced one month ago that it will go ahead with the acquisition bid from Sharp.

Terry Gou, the CEO of Foxconn expressed his joy “I am thrilled by the prospects for this strategic alliance and I look forward to working with everyone at Sharp”. Terry had failed in 2010 when he first bid for Sharp.

Terry Gou, CEO Foxconn

Foxconn, a Taiwanese based trading and more importantly a contract manufacturing company. Foxconn has over 1.3 million staff turning out thousands of units of electronics for major tech giants. Its net income for 2015 is about $4 billion.

Foxconn has for a long time garnered negative PR with complaints from current and former staff over low pay, poor welfare and working condition. Its acquisition of Sharp would balloon its workforce and in the midst of global economic slowdown, the company might however cut some jobs.

Image Credit: PCMAG