Sony Under Pressure to Break Off Entertainment Unit in IPO Bloomberg
Sony is under pressure from billionaire investor Daniel Loeb to spin off its entertainment business in an initial public offering, allowing the company to focus on its struggling electronics unit, reports Bloomberg.
Sony said the entertainment business isn't for sale.
Loeb has a record of pushing changes at corporations, including a management shakeup at Yahoo! last year, but Japanese companies haven't been as easy to sway by activist investors, the story notes.
"Japanese companies try to balance the interests of finance, labor and government, while the U.S. in recent decades has become investor-centric, so raiders and activists are more tolerated," Harvard Business School professor Rakesh Khurana said.