Toaster maker Balmuda’s stock nosedives upon foray into smartphones

The stock price of Balmuda Inc, best known for its toasters, has nosedived as its foray into smartphones was met by a poor market reception.

The Japanese firm announced this week that it has halted sales of its poorly received handset.

Shares in Balmuda, which listed on Tokyo’s start-up index in December 2020, fell as much as 10% in Tuesday trading.

The firm said it has paused sales due to an unidentified issue regarding compliance with Japan’s technical standards.

Retailing for 104,800 yen ($910) the “Balmuda Phone”, which is manufactured by Kyocera , is more expensive than the iPhone 13 mini, has a plastic case and a processor usually found in budget smartphones.

Balmuda’s shares jumped when the smartphone plans were unveiled in May, in what was intended to begin a new growth phase for the company.

The shares have since lost half their value.