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Toshiba Planning Majority Stake Sale in Memory Business
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Toshiba Planning Majority Stake Sale in Memory Business

by Sam ChenFebruary 14, 2017

Struggling Japanese conglomerate Toshiba just can’t seem to catch a break. According to a recent announcement, the company is now expecting a 712.5 billion Yen ($6.3 billion) writedown of losses stemming from their nuclear power business, resulting in a net income loss of 390 billion Yen ($3.4 Billion).

As a result of the recent projections release, Toshiba Chairman Shinegori Shiga has stepped down from his role as chairman and Toshiba is now reportedly planning to sell a majority stake in their memory business to cover their losses. Toshiba’s memory business was previously expected to be spun off by the end of March with Toshiba selling a 20% stake to maintain majority control, but this may no longer be an option. Toshiba’s memory business currently generates the majority of Toshiba’s revenue.

Potential buyers for a stake in Toshiba include companies such as Western Digital, SK Hynix, Micron, Tsinghua Unigroup, etc. as well as financial investors such as Bain Capital.

 

Source: Bloomberg

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Sam Chen
Hardware and Technology Enthusiast. SSD Evangelist. Editor-in-Chief. You can find Sam's full biography here