Sale of Toshiba’s Memory Business Delayed
Toshiba Corporation of Tokyo, Japan, announced on March 26th that it won’t be able to complete the sale of its Toshiba Memory Corporation as planned to a consortium led by Bain Capital by the end of its fiscal year, which is March 31, 2018. Instead, it says it believes that it will be able to complete the sale next month or after that.
The firm noted that antitrust approval for the sale has not yet been obtained. According to Reuters, Chinese anti-monopoly officials have not given the go-ahead for the sale.
The firm noted that the delayed sale won’t have an impact on its fiscal-results forecast that it announced on February 14, 2018.
Toshiba is selling the unit to cover liabilities incurred by its now-bankrupt U.S. nuclear-power business, Westinghouse. However, since that decision, it’s raised some $5.4 billion in funds from foreign investors.
Some investors have recently opposed the sale of Toshiba’s profitable memory-chip business, arguing that the $18 billion sale price is too low.
- February 2018: Toshiba Appoints Former Banker CEO in Drive to Rebuild Company
- February 2018: Profit up Sharply for Toshiba TEC, but Profit Padding at Subsidiary Reported
- February 2018: Toshiba Expects Return to Profitability for Fiscal Year Ending Next Month
- January 2018: Toshiba Finds Buyer for Westinghouse Nuclear-Power Business
- December 2017: Toshiba, Western Digital Settle, Sale of Memory Business to Proceed
- December 2017: Hong Kong Investor Tells Toshiba Sale of Memory Business Not Necessary
- December 2017: Toshiba, Western Digital, Said to be Close to Deal Approving Memory Business
- November 2017: Toshiba Seeking to Sell Westinghouse Electric, But Not PC
- November 2017: Toshiba Seeking to Sell TV Business to Chinese Company for $114 Million
- November 2017: Toshiba Reports Loss for Half, but Memory Business Records Strong Performance