Toshiba Signs $17.7 Billion Deal With Bain-Apple Group to Sell Chip Unit
September 28 2017 - 3:42AM
Dow Jones News
By Takashi Mochizuki and Kosaku Narioka
TOKYO-- Toshiba Corp. said it reached a legally-binding
agreement with a group led by U.S. private-equity firm Bain Capital
LLC to sell its memory chip unit for Yen2 trillion ($17.7
billion).
On Thursday, Toshiba reached a deal with the group, which
includes Apple Inc., Dell Technologies Inc., Seagate Technology
PLC, Japan's Hoya Corp. and South Korea's SK Hynix Inc. The unit
will remain a Toshiba affiliate even after the deal's completion.
Toshiba and Bain want to get the deal done by the end of March.
Still, ongoing litigation with Western Digital Corp., which
jointly operates the memory business with Toshiba, means the saga
isn't over. Western Digital claims it has the right to vote on the
sale. Another hurdle is receiving antitrust clearance, which could
take six months or longer.
Toshiba suffered huge losses from its U.S. nuclear subsidiary
Westinghouse Electric Co.'s chapter 11 filing earlier this year,
and it is rushing to close the deal to raise cash by March so it
can remain listed on the Tokyo Stock Exchange.
Write to Takashi Mochizuki at takashi.mochizuki@wsj.com and
Kosaku Narioka at kosaku.narioka@wsj.com
(END) Dow Jones Newswires
September 28, 2017 03:27 ET (07:27 GMT)
Copyright (c) 2017 Dow Jones & Company, Inc.
Hoya (PK) (USOTC:HOCPY)
Historical Stock Chart
From Oct 2024 to Nov 2024
Hoya (PK) (USOTC:HOCPY)
Historical Stock Chart
From Nov 2023 to Nov 2024
