Japan Display signed a final contract on 30 September 2026 to sell its Mobara plant in Chiba Prefecture. It expects a consolidated gain of about ¥51.4bn, an estimate, with handover scheduled for 31 March 2027.
Who is buying
The board resolved the sale on the same day it signed. The buyer is a Nagano-based manufacturer of plastic laminate packages, lead frames, glass terminals, heat spreaders and ceramic electrostatic chucks, which also does IC assembly. Japan Display reports no capital, personnel or trading relationship with it. Part of the plant is due to pass on from the buyer to FICT.
The plant stopped production in November 2025. The assets being sold are land, buildings and ancillary facilities, and the package includes land and buildings that Japan Display acquired under a separate notice dated the same day.
The numbers
Japan Display put the plant's book value at about ¥26.6bn, an approximation as of the handover date. It expects a consolidated gain of about ¥51.4bn and a standalone gain of about ¥54.9bn, both to be booked as extraordinary gains. The company calls them estimates, worked out as the sale price less book value and estimated transfer costs, and its extraordinary report says they are not yet final.
The sale price is not disclosed. Japan Display says the buyer asked for that, and adds that the price reflects market value. Japan Display expects to book the consolidated gain in the fourth quarter of the year ending March 2027.
How it got here
Japan Display decided in February 2025 to end production at Mobara, citing better use of management resources and asset efficiency. In its notice of 15 May 2025 it announced a basic agreement with Ichigo Trust aimed at strengthening its financial base, and it began talks on selling the plant. After production ended in November 2025, it held talks with several candidate buyers.
The company says it has been working to improve its financial base through structural reform and funds raised from the exercise of stock acquisition rights. It widened its review beyond the Ichigo Trust agreement to other sale methods and other buyers, and concluded that selling directly to the Nagano manufacturer was the best option on economic grounds.
Japan Display says it is pursuing its BEYOND DISPLAY strategy to strengthen its business base and create new sources of revenue. Handover is scheduled for 31 March 2027, and the company describes the gain as an approximate figure that is not yet final.