Struggling Apple display Japan Display said Tuesday that it has finalized a deal to raise $200 million from an unnamed “overseas customer.” While the customer is unspecified, Reuters claims that it is Apple.
The $200 million fund will come from the customer buying equipment at Japan Display’s main smartphone screen factory in central Japan. Japan Display owed Apple upward of $800 million last year due to Apple spending $1.5 billion building a plant used for iPhones.
According to Reuters, the fund to be raised “would be used for repayment” of this debt, sources claim.
Japan Display and Apple
Japan Display was previously one of Apple’s biggest display manufacturers. However, it has struggled in recent years as it stuck with LCD displays while other companies embraced OLED screens. Apple has nonetheless proven supportive of Japan Display.
To help it through its recent rough patch, which has included multiple loss-making quarters, Apple has agreed to slow the pace of expected repayments for its factory-building loan. Apple has additionally paid money it owes Japan Display in shorter increments to help boost cash flow.