Sony Plans $3.6 Billion Stock, Bond Offering

TOKYO—Sony Corp. said Tuesday it plans to raise up to $3.6 billion by issuing a combination of stocks and convertible bonds to bolster promising growth areas such as its image sensor business and its PlayStation videogame business.

The Japanese electronics company said it hopes to raise ¥ 322 billion ($2.63 billion) through a new share offering and ¥ 120 billion through an issuance of convertible bonds. The company last held a new stock offering 26 years ago and a convertible bond offering in 2012.

Sony said the bulk of the proceeds will be spent on beefing up its production and research-and-development capacity at its device unit, the company's latest cash cow. The Japanese company's image sensorsâ "a core part of its camerasâ "have attained the top spot in the industry and are used in many smartphones, including Apple Inc.'s iPhone and Samsung Electronic Co.'s Galaxy. Sony is planning to spend ¥ 210 billion on image sensors and ¥ 80 billion on camera modules.

News of the issuances hit Sony's stock hard in the final minutes of trade on the Tokyo Stock Exchange. Sony's shares ended down 8.3% at ¥ 3,461.5 after finishing the morning session down 3.2%.

Write to Takashi Mochizuki at [e-mail]

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