The Japanese government sold all of JDI's shares! The total investment loss exceeded 150 billion yen
INCJ, a public-private partnership supervised by Japan's Ministry of Economy, Trade and Industry, disclosed that it had sold all of its shares in Japan Display (JDI) through the market, at a loss of 154.7 billion yen (US$1.05 billion). INCJ Chairman and CEO Toshiyuki Shiga said that since JDI was founded in 2012, INCJ has been a major shareholder of JDI and is committed to improving the international competitiveness of Japan's panel industry. INCJ injected a total of 462 billion yen in investments and loans into JDI.
INCJ decided to end its investment in JDI and sell its shares in stages. According to JDI's report, INCJ still holds 0.26% of its shares as of the end of September 2024, but now it has sold all of them. Toshiyuki Shiga said that INCJ took risks for thirteen years and finally recovered only 66% of its total investment and loans to JDI. JDI was established in April 2012 with investments from INCJ, Sony, Toshiba and Hitachi, integrating the small and medium-sized display businesses of Sony, Toshiba and Hitachi subsidiaries. INCJ said the decision to invest in JDI was to support technological innovation in LCD and OLED displays, as well as the overall development of Japan's display industry. According to INCJ, JDI was able to expand its business and conduct an IPO in the early days thanks to its high technological capabilities. After listing on the Tokyo Stock Exchange in 2014, JDI began to face a difficult business environment, with the smartphone market shifting to high-performance OLEDs, overseas competitors emerging, and price competition intensifying. China is now the world's largest supplier of display panels, but JDI, which is tasked with revitalizing Japan's panel industry, lags behind its competitors and is struggling to survive. JDI has never made a profit since its listing, and its stock price has never been able to break through the IPO price of 900 yen, and is currently trading at only 10 to 20 yen. INCJ said it has taken measures to improve JDI's business, including a capital partnership with Ichigo Trust in 2020 to strengthen its financial position. According to INCJ, JDI is currently focusing on cooperation with other companies based on its proprietary next-generation OLED eLEAP technology, as well as non-panel businesses such as advanced semiconductor packaging, to return to profitability in the fiscal year ending March 2026.
Due to the decline in demand for LCD panels and losses from factory closures, JDI expects to report a net loss for the 11th consecutive year when it releases its results for the fiscal year ending March 31, 2025. JDI also announced that it will cancel its recruitment plan for college graduates in the spring of 2026. The last time such recruitment was canceled was in the spring of 2022. In November 2024, JDI announced that it would shift its business focus from displays to other areas such as data centers and glass substrates. In February 2025, JDI stopped operating the Mobara plant in Chiba Prefecture and concentrated LCD panel production at the Ishikawa plant in Ishikawa Prefecture.
