Electrical Equipment

Olympus’s M&A moves went from unorthodox to mad

21 Oct 2011

The Japanese firm’s merger misadventure started oddly and went downhill. Deals don’t always require big banks or cash fees. But Olympus seemingly ceded most of a UK target’s future profits to a mystery adviser, resulting in the biggest M&A fee in history. At best, that’s crazy.

Olympus investors need urgent answers

19 Oct 2011

Accusations by its ousted CEO have them wondering: why did the Japanese company pay two M&A advisers a 35 percent commission in 2008? The fear is that Olympus could be forced to take big writedowns, or even delist. Until the air is cleared, its shares will continue to founder.

Olympus fiasco strengthens case for Japan reform

17 Oct 2011

Naming foreigner Michael Woodford to run the company was part of a grudging shuffle toward accountability. Firing him six months later suggests an allergic reaction. It’s a setback for Olympus, whose shares have plunged, but will only increase the heat on Japan’s conservative boards.

Japan’s LCD bailout puts state in reformist role

1 Sep 2011

Its big manufacturers have long placed job security over profits. So Tokyo has devised a face-saving way for Hitachi, Sony and Toshiba to spin off their ailing LCD units. A state-funded joint venture subsidizes R&D - and the social cost of consolidation that companies fear most.