Hon Hai Precision Industry proposed to Sharp merging Sharp's
LCD business. Hon Hai also required Apple providing capital.

Hon Hai have eagered to buy Sharps LCD business because
they want to obtain Sharp's technology and manufacturing line.
The advantage of Apple for this M&A is they can keep the
competitiveness of suppliers. Sharp is also discussing about
forming partnerships with government organization INCJ(Innovation
Network Corporation of Japan), and then there is a possibility that
JDI(Japan Display) will buy sharp's LCD business.

LCD business has been core business for Sharp until now, but
it is difficult to continue to make profit in this field.
To succeed their LCD business to Hon Hai and get money for
investing next business is one of the good option for Sharp.