Japanese electronics giant Panasonic will soon sell three domestic semiconductor plants to Israeli high tech company TowerJazz, according to a report released Wednesday. A price is yet to be determined for the sale which is likely to be finalized by March 2014, reports AFP.
TowerJazz specializes in integrated circuits and is anticipated to keep the plants' 2,500 workers in their current posts, although some will apparently be transferred to different divisions in Panasonic.
The Economic Times notes the three plants had a combined book value of 42.2 billion yen ($416 million) as of March 31.
The sale is intended to reduce non-profitable operations for Panasonic, which is restructuring after two years of record losses. The company's shares jumped 3.9% following the reported deal.
Panasonic is also reportedly in talks to sell 5 overseas computer chip plants to a company in Singapore as part of its reshuffling.
The electronics giant is reducing its semiconductor activities after already having decided to leave the Japanese smartphone industry and pull out of the plasma television market.