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Foxconn shares to be suspended Wednesday due to “major announcement”
- biot 11y agoThe article hints at a merger, but why would that require suspending trade in its shares? My first thought went towards Apple making an announcement regarding its supply chain. However, that too would be business as usual and subject to a correction once trading is resumed. Maybe Foxconn is filing for bankruptcy?
- chollida1 11y agoFoxConn is announcing whether or not they will buy Sharp, or at least put in a bid to buy Sharp. They are widely believed to be putting in a bid to buy Sharp. Sharp's board agreed on Feb 25th to declare FoxConn the winner of the bidding process. Foxconn is now dealing with Sharps creditors to determine how much of a haircut they'd be willing to tolerate on their debt and preferred shares. As to why trading will be paused, its because they are having a regularly scheduled board meeting. There isn't much out of the ordinary here. It's not uncommon to halt trading when a very material issue may be decided so that it the case of any leaks everyone will have time to process and react to the news.
- biot 11y agoRight, that's what the article states. Why is trading suspended though? If Google were set to announce an acquisition of some company, would Nasdaq halt trading in GOOG?
- rconti 11y agoMaybe the Taiwanese stock exchange functions differently from American markets? I'm not sure if this is normal or not.
- dang 11y agoAnnouncements of announcements are off-topic here.