Source disclosure: February 10, 2026
Sharp Corporation [6753.T]
TOKYO — Sharp Corporation announced on Friday that it has decided to absorb its wholly-owned subsidiary, Sharp Sensing Technology Co., Ltd. (SSTC), effective April 1, 2026. The decision was made during a board meeting held today.
The merger is part of Sharp's ongoing efforts to streamline operations and focus more closely on brand-centric business activities. SSTC had been primarily involved in camera module manufacturing within the Sharp Group but transferred this business to Fullertain Information Technologies Ltd. – B.V.I., a subsidiary of Hon Hai Precision Industry Co., Ltd., as disclosed on December 27, 2024, and June 30, 2025. Since then, SSTC’s main operational activities have ceased, leading to the current merger plan.
Sharp aims to accelerate the establishment of a strong "SHARP" brand by transitioning towards a business structure centered around branding. This move aligns with the company's strategic vision to enhance its market position and competitiveness through focused resource allocation.
Regarding the specifics of the merger, Sharp will act as the surviving entity while SSTC will be dissolved without any new share issuance or monetary compensation due to the nature of the transaction being an absorption of a wholly-owned subsidiary. The legal framework under which this merger falls is governed by Article 796, Paragraph 2 of Japan's Companies Act for Sharp and Article 784, Paragraph 1 for SSTC, both allowing for the process to proceed without shareholder approval.
Post-merger, there will be no changes to Sharp's name, location, leadership, core business activities, capital stock, or fiscal year-end date. The impact on Sharp's consolidated financial performance is expected to be minimal given the limited scale of SSTC's previous operations.
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