Sony Corp. will sell about 332 billion yen ($2.9 billion) of shares in its insurance unit in Japan's biggest initial public offering this year, raising funds for the consumer electronics and games divisions.
The world's second-largest consumer electronics maker will sell 725,000 shares, or 34.5 percent of Tokyo-based Sony Financial Holdings Inc., and the unit will offer 75,000 new shares, according to a statement today. The stock may be sold for about 415,000 yen, with pricing set on Oct. 1. Trading starts on the Tokyo Stock Exchange on Oct. 11.
The initial public offering of the unit, formed in 2004, will test demand for financial stocks roiled by losses in the U.S. subprime mortgage market. The proceeds may help Chief Executive Officer Howard Stringer increase production of Bravia televisions and channel funds to its unprofitable PlayStation unit.