US hedge fund manager's proposal gets rejected completely

Aug 6, 2013 11:41 GMT  ·  By

A while ago, Daniel Loeb, CEO of Third Point, tried to get Sony to separate Sony Pictures and Sony Music from its core business, or at least to sell 20% of those assets.

The proposal was sent back in May, as a way for Sony to raise some money and use it to strengthen the troubled electronics division.

Initially, Sony's board was cautiously open to the idea, and analysts were quick to note that the proposal could help the company unlock unrealized value, so to speak.

Nevertheless, Sony has decided to continue owning 100% of Sony Pictures and Sony Music.

The decision pushed down its share price by over 5%, which is, unfortunately, quite a lot.

Nevertheless, the corporation feels it can raise money through other means, and is optimistic about the prospects of its electronics operations.