Sony Corporation has sold an office building in Tokyo for 111.1 billion yen (US$1.2 billion) as part of wider restructuring moves.
The sale of the Japanese consumer electronics giant's Sony City Osaki office building will book a 40 billion yen (US$442 million) gain, which will be recorded in its Q4 financials due March 31, a company statement released Friday, noted. The 25-storey building housing 5,000 employees, most of whom work in the TV and audio business, was bought by real estate firm Nippon Building Fund and an undisclosed Japanese institutional investor.
This confirms earlier reports in January that Sony was planning to sell one of its major offices in Tokyo to raise between US$1.14 billion to US$1.48 billion, to help the company curb with losses and turn its electronics business around.
"Sony is transforming its business portfolio and reorganizing its assets in an effort to strengthen its corporate structure. This sale was conducted as a part of this reorganization," the Japanese firm said.
The sale comes a month after
to help tide the financially-strapped Japanese electronics giant over while it is in the midst of improving its business.
For its fiscal Q3 results earlier in February, Sony had posted US$20.84 billion in revenue, but had a US$115 million net profit loss. This was an improvement from the year before, when the company posted a US$2.1 billion net loss following the decline in its TV business and environmental disasters affecting its operations.