Fujitsu To Sell Cellphone Arm, May Accept Bids From September

Fujitsu to sell cellphone arm, may accept bids from September

Fujitsu Ltd. is looking to offload its struggling cellphone business and will start accepting acquisition bids as early as September, sources said.

Potential suitors will likely include U.S. and European funds and Chinese business operators.

However, Fujitsu plans to hold on to some of its shares in its cellphone subsidiary and maintain its brand for cellphones supplied for NTT Docomo Inc. and other carriers, the sources said.

Fujitsu holds the fifth-largest share of the domestic market after Apple Inc., Sony Corp., Sharp Corp. and Kyocera Corp.

However, the company sold only 3.2 million units in fiscal 2016, sharply down from about 8 million units in fiscal 2011, due to competition from the market leader Apple, South Korea’s Samsung Electronics Co. and Chinese manufacturers.

Fujitsu spun off its cellphone business into a separate company in February 2016 after projecting little prospect for substantial growth.

The company has been seeking to form a partnership with other companies.