Sony Ericsson will have to raise 100mil EUR to keep going
We knew things aren’t that good for Sony Ericsson right now.
Dropping market share and falling handset sales made it lose hundreds of millions of dollars during the last few months. And, contrary to Motorola, they can not rely on a parent company to cover those losses as the coffers run dry.
So Sony Ericsson may need to look for more money to stay in business pretty soon.
Sony CFO has been talking to Nikkei News and acknowledged the problem, which is a combination of falling demand and a gap in the product portfolio, before the new handsets get into the market.
According to him, Sony Ericsson will need to raise 100 million EUR this fiscal year (ends in March of 2010) to keep going. They are considering various financing options for that, including loans or equity injection from parent companies, or the issue of new shares.
According to Sony spokesman, Sony and Ericcson will jointly discuss and deicide the fund-raising details later.
Well, wish them good luck, and I really hope SE will get its act together soon enough.
Enjoyed the story? Get the news and updates as we publish them. For instant updates as we press the "Publish" button, click here to follow us on Twitter . To subscribe to RSS News Feed click here , for daily e-mail updates click here .If you liked the post, you might find these interesting too:
- Sony Ericsson’s Q3 2009 results show “positive trend”
- Sony PSP phone is coming, won’t have anything to do with Sony Ericsson
- Sony CEO considering dumping Ericsson for sucking so much at mobile phone business lately
- Sony Ericsson might go crazy with a 12 MP camera phone
- Samsung takes Sony Ericsson’s place as second biggest player in Indian handset market
-
Taylor
-
Ben
« Palm Pres are in short supply. Probably only 200K in Q3Sprint HTC Touch Pro 2 / Rhodium to come in June; live pics leaked »