Wed, May 22, 2013 | 22:29 BST
Sony board discussing whether to split Entertainment and Electronics divisions
Sony is discussing whether to split its entertainment business, which houses PlayStation, from its electronics division – a possibility which saw stock prices rise yesterday.
Last week, the firm’s largest investor called for a division between Sony Entertainment and Sony Electronics via a hand delivered letter written by Daniel Loeb, CEO of Third Point, LLC, which controls over $1.1 billion in shares.
A report on Bloomberg today states the board of directors has started discussing the idea, with Sony CEO Kaz Hirai stating the board will “come to a decision that represents Sony’s stance.”
Since the proposal was made, Sony shares went up 17% to $22.15 since the Bloomberg report was posted, and as of NASDAQ closing, SNE shares stand at $22.66, up 2.3% after hours.
Thanks, GI International.