Foxconn Chairman Slams Toshiba’s Proposed Sale of Memory Business
The drama continues at Toshiba Corporation of Japan, this time with the Chairman of Foxconn Technology (otherwise known as Hon Hai Precision Industry Company in Taiwan) Terry Gou calling Toshiba’s decision not to sell Toshiba Memory Corporation a “high-tech scam,” according to Taiwan News.
Gou also blamed Japanese government bureaucrats for pushing the Toshiba Memory unit “toward an uncertain future. They were taking revenge because he had not followed their advice during his takeover of Sharp Corporation last year, Gou said.”
According to Taiwan News: “In the end, newspaper editors would rue their decision to put Hon Hai’s defeat on their front pages Thursday, he said, ripping up a copy of the Chinese-language Commercial Times.
Gou also said that accusations that Japanese technology would flow out of Japan if he Foxconn purchased Toshiba Memory Corporation, or “that the origin of his funding was unclear were completely false.” He also said that if he did actually win the bid, he would set up a factory in the United States “because that’s where the talent and the market were.”
As Wirth Consulting reported earlier this week, Toshiba reported this week that its board of directors has voted to sell Toshiba Memory Corporation to a consortium of investors that consists of Innovation Corporation of Japan, Bain Capital Private Equity (South Korea), and the Development Bank of Japan. According to Reuters, the consortium’s bid cleared Toshiba’s 2 trillion yen ($18 billion) minimum.
According to Reuters, TFoxconn will continue to pursue the purchase of Toshiba Memory Corporation. “We will continue our efforts,” Sharp Corp CEO Tai Jeng-wu told reporters at the Foxconn shareholder’s meeting. “We will use our track record, our efforts at Sharp, Foxconn’s global reach – we are a global company, not a Taiwan company,” Tai said.
- June 2017: Toshiba Set to Sell Memory-Chip Business to Consortium of Investors
- June 2017: Western Digital Seeks to Block Toshiba’s Sale of Memory-Chip Business
- June 2017: Toshiba Determined to Sell Memory-Chip Business Despite Hurdles
- May 2017: Toshiba Not Reporting Audited Full-Year Financial Results at Shareholders’ Meeting
- May 2017: Report: Toshiba Corp May be Considering Bankruptcy
- April 2017: Toshiba Splitting Off Four of its Companies into Wholly Owned Subsidiaries
- April 2017: TABS CEO Reassures Clients in Wake of Toshiba Corp. Difficulties
- March 2017: Toshiba Approves Sale of Chip Business; Foxconn May be Bidder
- April 2017: Toshiba Reports $5.9 Billion Loss, Warns of Ability to Continue as Going Concern
- March 2017: Troubled Toshiba Fails to Submit Audited Third-Quarter Earnings