Sharp reaches an agreement with Universal Media Corp. of Slovakia-- and UMC will be getting exclusive brand license rights for the TV business as well as the audio business in Europe. As part of the brand licensing, Sharp will support the design & development of LCD televisions produced and sold by UMC under Sharp brand.
UMC will acquire 100% shares in Sharp Manufacturing Poland Sp. zo.o. (SMPL), Sharp’s manufacturing base in Poland for LCD televisions. The transfer of business and sale is to be completed before the end of 2014.
UMC plans to revive the manufacturing volumes at SMPL and expect to hire additional staff at SMPL to support its sales plan.
UMC will sell the audio products manufactured by S&O Electronics /Malaysia/ Sdn. Bhd.(SOEM), Sharp’s manufacturing base in Malaysia for audio products.
This strategic alliance will enable UMC to increase its sales and market share in Europe by expanding into an ‘’A’’ brand market segment, adding Sharp to an existing brand portfolio of Blaupunkt, UMC, Eternity and E-motion.
Sharp management is aggressively addressing their losses by cutting support for unprofitable products and markets – and doubling down in products and markets where they remain profitable.
Sharp had discussed with TP of Taiwan to take over their European TV business. (and with Vestel of Turkey to take over the household appliance business).
Those talks with TPV allegedly broke down over the terms relating to the Sharp factory in Poland. UMC then found the door open.
