According to Bloomberg, Sony is selling its U.S. headquarters to the Cherit Group. The headquarters located in New York will sell for $1.1 billion. Sony hopes the sell will generate about $770 million after all the debts and costs of transaction are paid off. Unfortunately jobs will be cut as well, but Sony will in general be allowed to stay in the building for up to three years after the sale closes.
“It makes sense for Sony, as it’s no longer a cash-rich company,” said Keita Wakabayashi, an analyst at Mito Securities Co. in Tokyo. “What matters is whether the company can use these proceeds to develop more attractive products.”
At the same time, shares have surged for the company more than ever in the past four years. The most recent losses appear to be in the non-gaming sector, as the need for TVs decline and steep competition with Samsung rises. But Sony predicts a $223 million profit for the year ending this coming March 31, despite the record breaking loss recorded that time last year.
“The biggest goal for Sony this fiscal year isn’t growth, but to be in the black,” said Hideki Yasuda, an analyst at Ace Securities Co. in Tokyo.
It remains to be seen if Sony's upcoming PlayStation 4 will be as profitable as Sony is no doubt hoping.
