Economy

Toshiba Reportedly Agrees To Sell Memory Chip Unit To Bain Group

Toshiba Reportedly Agrees To Sell Memory Chip Unit To Bain Group”

-South Korean consortium as a preferred bidder to buy its memory chip business unit.

California-based Western Digital made key concessions to assure Toshiba it wouldn't seek future control of the chip business, addressing antitrust concerns and turning the tide away from the bid led by USA private equity firm Bain Capital LP and SK Hynix Inc 000660.KS , said the sources, who asked not to be named as the discussions are private.

The Bain consortium includes backing from Apple Inc. and Dell Inc., people familiar with the matter have said. Toshiba's chose Bain over a group led by KKR & Co. and two state-backed funds, Innovation Network Corp. of Japan and Development Bank of Japan. Last week, Toshiba signed a memorandum of understanding with Bain, with the goal of reaching a final deal before the end of the month.

For SK hynix, the world's fifth NAND flash maker, the group's acquisition of the Toshiba unit is expected to help raise competitiveness of the chip business. But the MOU didn't preclude Toshiba from continuing to negotiate with other bidders.

The insider said the company is awaiting Toshiba's official announcement.

The Toshiba/Western Digital talks broke down again this time around limits to WDC's future stake in Toshiba Memory that Toshiba had demanded, according to the report. The total INCJ-KKR bid is about 1.9 trillion yen, they said, less than what the Bain group is offering. To complete the sale, Toshiba may have to overcome resistance from joint venture partner Western Digital Corp. But Western Digital agreed to withdraw from that consortium because of opposition from Toshiba, people familiar with the matter have said.

The memory business was spun off into a separate subsidiary back in April.



Like this

Latest


20 September 2017
Mercer County continues to lead OH in lowest rate of unemployment
The national unemployment rate, 4.4 percent, was little changed from July but was 0.5 percentage points lower than in August 2016. The unemployment rate stood at 4.5 percent during August across the country and at 4.9 percent statewide.

20 September 2017
Rio Ferdinand to become professional boxer
I have not been able to replace it. "When ya get ur licence back Tyson Fury?! ". "I'm doing this for many reasons". Rio Ferdinand will try to become a professional boxer.

20 September 2017
North Korea latest: Will Kim Jong-un lash out at United Nations sanctions?
Peru also took extra steps to limit the North Korean presence in Lima. EGYPT: Egypt said that it is cutting military ties with North Korea.

20 September 2017
Brexit could cost United Kingdom 10000 finance jobs
The United Kingdom formally triggered the Brexit process on March 29 and divorce negotiations officially began on June 19. Bank of America said it would pick Dublin, the capital of Ireland, as its European Union hub if there was a hard Brexit.

20 September 2017
Chrysler 300 Hellcat Coming Next Year
It's a Dodge Charger under its conservative smock, after all-and a Dodge Charger Hellcat is most certainly available today. SRT was to become a Dodge-only affair until the Jeep Grand Cherokee SRT sold in droves.

20 September 2017
MA sues Equifax for failing to protect state residents
Hawley said the investigation began shortly following Equifax's disclosure of the breach of consumer files earlier this summer. A data breach of the company has compromised the personal information of about 143 million Americans.

20 September 2017
OnePlus partners Castelbajac to launch OnePlus 5 limited edition on September 22
As of now, there is information about the availability of the OnePlus 5 JCC Limited Edition outside of Europe. It sports a 5.5-inch Optic AMOLED display with Full HD resolution and Corning Gorilla Glass 5 protection.

20 September 2017
JD Wetherspoon plc (JDW) Earns Hold Rating from Liberum Capital
The stock 0.29% or $0 on September 15, reaching $1.16. 25 funds opened positions while 50 raised stakes. The Firm operates approximately 90 gyms across the United Kingdom that are open around the clock.

20 September 2017
The Travelers Companies, Inc. (NYSE:TRV) Experiences Heavier than Average Trading Volume
Sequoia Financial Advisors LLC lifted its position in shares of The Travelers Companies by 11.4% in the 1st quarter. The Travelers Companies (NYSE:TRV) previously disclosed its periodic earnings reports on Early Thur, Jul 20th.

20 September 2017
U.S. military forces hold joint military exercises with South Korea, Japan
Instead, he said, the worldwide community should strictly implement the sanctions imposed on North Korea by the U.N. Pyongyang launched a second ballistic missile across Japan two weeks later.



Recommended