Sony announces 440BN stock and bond issue

DetailsRebecca Hawkes | 30 June 2015

Japanese electronics giant Sony Corporation is to raise 440 billion (US$3.6 billion) through an issue of new stock and bonds on both Japanese and international capital markets on 17 August.

The funding will be used to invest in growth sectors such as its PlayStation gaming console and image sensors, used in smartphones and other devices. Sony's camera technology is used in Apple's iPhone and Samsung's Galaxy devices, among others.

Sony will sell up to 92 million new shares in Japan and overseas, as well as approximately $1 billion (¥120 billion) worth of bonds in Japan only.
Although the price is yet to be determined, 32 million shares will be placed in Japan and 55.2 million shares will be available on international markets. An extra 4.8 million will be allocated in case the offering is over subscribed.

The news hit Sony's stock hard at the end of trade on the Tokyo Stock Exchange on 30 June. Sony's shares stood at 8.3% at 3,461.5 from 3.2% at the end of the morning session.