Sony rejects Loeb's proposal for chip business spin-off

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Sony Corp said on Tuesday it was rejecting a call by Daniel Loeb's activist hedge fund Third Point LLC to spin-off its chips business, saying that ...

TOKYO: Sony Corp said on Tuesday it was rejecting a call by Daniel Loeb's activist hedge fund Third Point LLC to spin-off its chips business, saying that the business is"a crucial growth driver" for the Japanese company.

The rejection comes just weeks after Sony sold its 5per cent stake in Olympus Corp back to the Japanese medical equipment maker, a move also called for by Loeb, one of the world's highest-profile activist investors. Smartphone makers' adoption of multiple-lens cameras and large-size image sensors drove Sony to a record April-June operating profit.

 

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