Sharp have confirmed that they have closed an agreement which will see $4.6 billion in financing to help bail the Japanese company out of some serious financial problems. Sharp's investor site details the "working capital loan" will have Mizuho Corporate Bank and Bank of Toyota-Mitsubishi UFJ lend Sharp 180 billion yen.
This is all part of a contract that ends on June 30 2013, including an equal sum in credit. Sharp was in dire need of this plan to move forward, who produces parts for Apple's iPhone 5, as well as many other products. Sharp are also still trying to ink an investment deal with Hon Hai that would see the Foxconn parent company take up a 9.9% stake in the company.
Sharp are still waiting for the Hon Hai deal to happen, and in the meantime have mortgaged nearly all of their Japanese factories, generating $1.92 billion in credit. By getting rid of their assets, Sharp hopes to generate around $2.74 billion by March 2013. On top of this, they have already culled 5,000 jobs, and are looking to get rid of another 11,000 staff soon.