Shares of Japan Display skyrocketed on Wednesday following a report that the Apple supplier was in talks for a bailout following the disappointing sales of the iPhone XR.
organic light-emitting diode (OLED) displays instead.
OLED screens are perceived to be superior to LCDs due to greater color reproduction and lower power consumption.
The surge in shares came a day after the Wall Street Journal reported that Japan Display was in advanced talks with an investor group from Taiwan and China to bail out the company with a potential amount that could be equivalent to $ 550 million and would include a 30 percent stake in the company.
The deal could give Taiwan’s TPK Holding and Chinese state-owned Silk Road Fund even more control of the company later on, the Journal reported.