Toshiba to sell chip unit to Japan-US-South Korea group

21 September, 2017, 01:02 | Author: Gladys Mathis
  • Toshiba said to have selected Bain-SK Hynix group to buy its memory business

Turning its back on a proposed deal led by Western Digital, Toshiba is set to make around $22 billion from the sale.

The Bain-led group was identified as a preferred bidder nearly three months ago, but the process has been delayed by the lawsuits, government opposition and corporate indecision.

The arrangement was ultimately preferred to bids by KKR & Co. and two state-backed Japanese entities.

The reports also said Western Digital had made key concessions to assure the Japanese firm that it would not seek future control of the chip business. It has opposed the sale of Toshiba's chip business from the very beginning, arguing that the business segment includes joint venture agreements that can not be sold off without Western Digital's approval.

Sources speaking with Bloomberg say Western Digital is still pursuing legal action over claims it should have some say in who buys the division. A Western Digital spokesman declined comment. The joint ventures are worth less than 5% of the chips unit, the person said. Bain may be American, but the group it leads includes Japanese companies.

U.S. stocks gain as all three main indexes close at records
Notable strength also emerged among banking stocks, as reflected by the 0.9% gain posted by the Dow Jones Banks Index. Gold stocks fell though, with Kinross, Alamos and Barrick all declining 1 to 2 per cent.


Reliance Jio prevails over Airtel, Idea as Trai cuts IUC
Reliance Jio had said in a presentation to Trai recently that telecom operators gained to the tune of Rs 1 lakh crore from IUC. Jio also stated that it is of the opinion that waiving the charge will benefit consumers.


President Trump To Make Debut At UN General Assembly
Trump had once described the United Nations as "a club for people to get together, talk and have a good time ". McMaster said "Iran's destabilizing behavior" would be a major focus of those discussions.


The race for acquiring the Toshiba unit intensified recently as the Bain-SK Hynix alliance raised its offer to 2.4 trillion yen, higher than the initial offer of 1.94 trillion yen, after WD raised its own offer from the initial 1.9 trillion yen. The special goal entity making the acquisition will be called Pangea and receive about 600 billion yen in loans, the person said.

The deal, agreed to by Toshiba's board of directors at a meeting Wednesday (Sept. 20), came just hours after the Retuers news service, citing anonymous sources, reported that Toshiba was once again leaning toward accepting a rival bid from Western Digital.

The auction has gone through dizzying twists and turns.

A week ago Patently Apple posted a report titled "Toshiba Signs Memorandum of Understanding with Bain Capital's Consortium for Toshiba Memory Corporation". But the MOU didn't preclude Toshiba from continuing to negotiate with other bidders.

Bain Group revised its offer, by seeking financial support from Apple.

Recommended:

  • USA  stocks close higher ahead as Fed meeting starts

    USA stocks close higher ahead as Fed meeting starts

    In overseas trading, stock markets across the Asia-Pacific region turned in a lackluster performance during trading on Wednesday. The biggest percentage gain was the telecom services sector's .SPLRCL 2.3 percent jump on merger and acquisition speculation.

    Apple admits to Apple Watch LTE problems just before it ships

    Apart from connection issues, some reviewers were disappointed with the drain on the watch's battery while making calls. It became apparent after my first full day using the Apple Watch Series 3 with LTE that something wasn't right.
    Two injured in Russian, Belarusian war games

    Two injured in Russian, Belarusian war games

    The unnamed source told 66.ru that there appeared to have been a technical glitch on board "and the missiles blasted off on their own".
  • Georgia utilities say power restored to nearly  95 percent of customers

    Georgia utilities say power restored to nearly 95 percent of customers

    Georgia Power wants to remind customers to be aware of potential scams during the statewide recovery from Hurricane Irma . The lawyers also say FPL did not do almost enough to trim trees and keep lines reinforced in the days before Irma hit.
    China rejects United States  demands for pressure on NKorea

    China rejects United States demands for pressure on NKorea

    Trump and Xi spoke on the phone days after Trump and his aides publicly discussed potential military action against North Korea . North Korea has said it is developing a long-range missile force capable of delivering a nuclear weapon to US territory.

    Lions improve to 2-0 with 24-10 road victory over Giants

    Got down there close on the 1-yard line (in the third quarter) and get a penalty and then get a delay of game at the end. After review, the ball was moved back, the gain was reduced to two yards, and the Giants turned the ball over on downs.
  • Tillerson may close Cuban embassy over attacks

    Tillerson may close Cuban embassy over attacks

    In Washington, lawmakers in Congress have been raising alarm over the incidents, with some calling for the embassy to be closed. Cuba has denied any involvement or responsibility but stressed that it's eager to help the U.S. resolve the matter.
    Epic Accidentally Let PS4 And Xbox One Players Battle Together On Fortnite

    Epic Accidentally Let PS4 And Xbox One Players Battle Together On Fortnite

    The possibility of cross-play continues to intrigue gamers who're often segregated by their choice of Microsoft or Sony consoles. "We had a configuration issue and it has now been corrected", a representative told the website via email.
    Kentucky 23 SC  13 4th Quarter

    Kentucky 23 SC 13 4th Quarter

    SC leads the all-time series against Kentucky 17-10-1. 142 Consecutive games have been played by SC since it was last shut out. SC has lost four straight to Kentucky and will face Texas A&M and Tennessee in road contests in the next four weeks.
  • Vodafone Qatar accepts orders for iPhone 8 and iPhone 8 Plus

    Particularly since features like Face ID are still unproven as a replacement for Touch ID. " Apple doesn't have it", he said . With 'Face ID, ' your face is the password. "We've encrypted it on your device .
    Erdogan demands Iraqi Kurds call off referendum

    Erdogan demands Iraqi Kurds call off referendum

    Turkey has brought forward to Friday a cabinet meeting and a session of its national security council to consider possible action. Navasardyan reminded that great powers voice strong objections to the referendum planned on September 25.
    Alec Baldwin, anti-Trump extraordinaire, owes Trump thank-you for SNL Emmy

    Alec Baldwin, anti-Trump extraordinaire, owes Trump thank-you for SNL Emmy

    The stars of such critical darlings as " Saturday Night Live ", " Veep " and "Last Week with John Oliver" were all celebrated. Kate McKinnon also won an award for her tong-in-cheek performances as Hillary Clinton and Kellyanne Conway .


Popular

Trump Addresses United Nations
While he is being responsible we're going to be responsible", Haley said during an interview with ABC's Good Morning America . The United States is one out of 193 countries in the United Nations, and yet we pay 22 percent of the entire budget and more.

Some 100 countries expected to sign treaty banning nuclear weapons
On Tuesday, President Donald Trump warned that the USA would "totally destroy North Korea" if forced to defend itself or its allies.

Trump calls Rand Paul a 'negative force' on health care
Shumway pointed out that 70 percent of older Wyomingites in long-term care facilities rely on Medicaid. He said Cassidy, whom Kimmel quizzed on his show before the plan came out, "lied right to my face".

Kenya's Supreme Court criticises IEBC electoral commission
Maraga said the opposition had failed to show evidence Kenyatta had campaigned using state resources or undue influence. The official results were based on the electronic tally before the paper results were fully collated, the judges said.

Trump says democracy must be restored in Venezuela soon
Several prominent opposition mayors have been removed or ordered arrested by the Supreme Court. "We want it to happen very soon". General Assembly, Trump said the Venezuelan people were starving and their country was collapsing.

Arrest made in 25-year-old murder of MA woman
A MA man was taken into custody in CT on Monday in connection with a decades-old slaying of a middle school educator. Schara was located in CT the next day after a suicide attempt, and arrested when his DNA was found to be a match.

Shearer: Liverpool no different under Klopp compared to Rodgers
Klopp has been easing the 24-year-old into action as he adjusts to the demands of his system, and the trip to the King Power Stadium provides him with a vital opportunity.

Gov. Doug Ducey says he supports latest health care repeal law
The GOP needs at least 50 senators to vote for the bill, which would then have to be considered by the House of Representatives. CBO said Monday it "is aiming to provide a preliminary assessment of the Graham-Cassidy bill by early next week".

Caribbean islands brace again as storm strengthens to Hurricane Maria
Storm Team 4 says the storm will likely weaken to a tropical storm as it makes its nearest pass to the tri-state. A tropical storm warning was issued for Antigua and Barbuda , Saba, St Eustatius and St Lucia .

Pirate Bay is Slowing Your Computer: Find out How
Pirate Bay told Torrent Freak that not all pages on the site are activated as the monetization option is now in testing. The website utilizes the JavaScript from Hivemind, which is self-described as "a monero miner for your website".