FILE PHOTO: a Japan Display Inc. logo is displayed at the company headquarters in Tokyo, Japan, on August 9, 2016. REUTERS/Kim Kyung-Hoon/File Photo
TOKYO (Reuters) – Japan Display will be reported on Wednesday, the 11th successive quarter, with a net loss in the slow display, sale, and restructuring charges as the cash-strapped company trying to clinch a bailout deal with Apple Inc. and other investors.
In the liquid crystal display (LCD) maker to a smartphone, which gets more than half of its revenue from Apple, which reported a net loss of 25.4 billion yen ($233 million) in the July-September quarter, much wider than the 7.8-billion loss the previous year.
Japan Display, which is money-losing for the past five years, as a result of the delay of Apple’s iPhone sales and the delay in the adoption of the organic light-emitting diode (OLED) display, and not for the whole year, with a profit outlook.
But CEO Minoru Kikuoka, who took the helm in September, told an earnings briefing, the company turned profitable in October.
Japan Display is looking to raise at least 50 billion yen ($470 million) to lift themselves after a Chinese investment firm, the Harvest suddenly pulled out of a plan.
Of the planned funds, it is Apple’s intention to invest up to $200 million, sources with direct knowledge of the talks said.
The Hong Kong-based Oasis Management is to contribute $150-180 million, with Japan Display, said to be.
The concern is about an immediate cash shortage, is eliminated, as Apple has agreed to the timing of the payment, a source familiar with the matter said.
Reporting Makiko Yamazaki; Additional reporting by Noriyuki Hirata; Editing by Muralikumar Anantharaman