This article first appeared in The Edge Financial Daily, on March 8, 2016.

TAIPEI/TOKYO: Talks for Taiwan’s Foxconn to acquire a majority stake in Japan’s Sharp Corp are “on the right track”, people familiar with the matter said yesterday, after a last-minute hitch over contingent liabilities caused delays last month.

Discussions are set to conclude this week, one person said, adding that most of the due diligence is done. Foxconn late last month suspended the signing of a deal to take over the loss-making Japanese electronics firm, citing the emergence of new material information. The announcement came after Sharp’s board voted in favour of Foxconn’s offer, estimated at nearly US$6 billion (RM24.5 billion).

Sharp shares were 6% higher in afternoon trade.

Terry Gou, chief executive of Foxconn, is in Bangkok to participate in a business expansion meeting sponsored by Sharp, the Taiwanese firm, formally known as Hon Hai Precision Industry Co, said yesterday, adding that he was invited to attend by Sharp.

“It is not important when an official signing will take place, but that Gou, who thinks two to three steps ahead of everyone, is already going into action by being in Thailand today (yesterday),” the person said. — Reuters