Sony plunges 8.25% on massive share sale plan

 A shopper walks past Sony logos at an electronics shop in Tokyo on June 30, 2015.
A shopper walks past Sony logos at an electronics shop in Tokyo on June 30, 2015. PHOTO: AFP

TOKYO (AFP) - Shares in Sony plunged 8.25 per cent on Tuesday after the Japanese electronics giant announced plans to raise 440 billion yen (S$4.84 billion) through stock and bond sales.

The stock closed at 3,461 yen on the Tokyo Stock Exchange, down 8.25 per cent from the previous day.

Sony Corp said it plans to raise up to 440 billion yen ($3.6 billion) by issuing new shares and convertible bonds to invest in its fast-growing image sensors business.

Sony said it expects to raise 321 billion yen from a public offering and 119 billion from issuing convertible bonds. The company said in February that it would spend 105 billion yen to boost production capacity for image sensors, increasing its focus on a business that is becoming one of its strongest as its TV and mobile operations struggle.