Top firms rivals for stake in Olympus

The field of possibilities has narrowed, with foreign firms and some domestic companies such as Panasonic now seen as unlikely partners, the sources said, although a leadership vacuum at Olympus was slowing progress on a deal.

“It looks like the contenders will be domestic players,” said a source close to one of Olympus’s banks.

Sony, which has relatively little experience in the healthcare sector, supplies image sensors to Olympus and is considered keen to tap into its lucrative business in diagnostic endoscopes, where it holds a 70 per cent global market share.

“Sony has been trying to integrate software, content and hardware to create an entertainment network. But Apple has a stranglehold on this market, so however hard it tries, it’s going to be a runner-up at best,” said Mizuho Investors Securities analyst Nobuo Kurahashi.

“On the other hand, healthcare is a growth market ... If it is not too damaging to Sony’s balance sheet, it is certainly interesting,” he said.

It was reported yesterday that Sony chief executive Howard Stringer had given the green light for an equity deal.

Olympus spokeswoman Saori Yamazaki reiterated yesterday that the company was considering various management reform options and that no specific decisions had been made on any issues.