(Bloomberg) -- Fujitsu Ltd. is aiming for a quick sale of its entire stake in air-conditioning manufacturing unit Fujitsu General Ltd. to help streamline its operations, and isn’t considering a partial divestment, its chief executive officer said.

The Japanese IT firm, which in its heyday made everything from laptops and supercomputers to chips, mobile phones and home appliances, has hived off much of its consumer product lineup to focus on communications and information technology systems for businesses. Like Hitachi Ltd. and Toshiba Corp., which saw their fortunes rise during Japan’s postwar economic boom, Fujitsu is shedding non-core operations.

That includes parting with its Fujitsu General shares, worth about ¥140 billion ($1.1 billion). 

“We have set certain criteria for the sale, and aim to sell 100%” of the 42% stake, CEO Takahito Tokita said in a recent interview. “We won’t do it half-way.”

Tokita declined to comment on negotiations over the unit, which makes cooling systems for homes and businesses, but said he was “happy to have interested parties.”

Fujitsu’s business now increasingly caters to a growing number of Japanese companies embracing more digital workflows to keep pace with technological shifts. For the fiscal year through March 2023, Fujitsu forecasts operating profit will climb 83% to ¥400 billion. Analysts are projecting, on average, profit of ¥359 billion.

When Fujitsu reported quarterly results in October, the company said it was considering the sale of holdings in non-core affiliates, including Fujitsu General, battery manufacturer FDK Corp. and Shinko Electric Industries Co., which makes packaging materials for semiconductors. As of the end of September, Fujitsu held about 59% of FDK and 50% of Shinko Electric, according to data compiled by Bloomberg. 

Talks about selling Fujitsu’s stake in Shinko Electric have been engulfed in “more active discussions on economic security involving closer communication with stakeholders,” including the Japanese government, Tokita said. In-depth discussions were necessary, not only based on economic rationality, but also economic security, he said.

Semiconductors have become the focus of policy makers around the world now vying to control key technologies that have military applications. Japan, home to many semiconductor production equipment and materials makers from Tokyo Electron Ltd. to Shin-Etsu Chemical Co., is under pressure from the US to help prevent chip technology from flowing into China.

Asked about the biggest risks facing Fujitsu, Tokita named the geopolitical strains over Taiwan, as well as surging Covid-19 infections. Given the increasing tensions between the US and China and Fujitsu’s high dependence on Taiwan’s components including semiconductors, Tokita said that the company has begun scenario planning to maintain supply chains and operations. “It’s critical to prepare for any emergency.”

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