Daily Management Review

Toshiba awards Bain-led consortium the rights to purchase its NAND chip business


09/20/2017


Despite the appearance of finality to the matter, there still lurks an element of uncertainty given Western Digital Corp’s earlier position on the matter.



As per three sources with knowledge of the talks, Toshiba Corp has selected U.S. private equity firm Bain Capital to buy its NAND chip business.
Despite this decision, it is still unclear whether Toshiba’s joint venture partner Western Digital Corp, a rival suitor which has initiated legal action on the grounds that no deal is allowable without its consent, will allow this deal to go through.
According to sources, the Bain-led consortium has offered $22 billion for Toshiba’s NAND semiconductor business.
The consortium includes, Apple Inc, Dell Inc, Seagate Technology Plc, SK Hynix Inc and Kingston Technology.
As per Hideki Yasuda, an analyst at Ace Research Institute, the constituents of the consortium could spell trouble ahead.
“The large number of stakeholders could complicate decision-making and slow down key investment decisions,” said Yasuda while adding that the participation of Toshiba clients would also sap the ability of the chips business to negotiate competitively on pricing.
As per another source, the official announcement by Toshiba on the deal has got held up since it is still awaiting commitment letters from all members of Bain’s consortium.
While a representative from Bain was not immediately available for comment, Toshiba and SK Hynix declined to comment.
 
References:
http://uk.reuters.com







Science & Technology

Chinese Study Claims Heart Diseases Can Be Reduced By Having An Egg A Day

Asteroid mining: Reality or fiction?

3D Printing Used For Life Saving Kidney Transplant In Two Year Old At U.K. NHS

California to require solar panels for new homes by 2020

Blockchain Enables De Beers To Track Diamond From The Miner To The Retailer

Microsoft releases Windows 10’s April 2018 Update

DNA Sequencing Project Proposed For All Complex Life Forms On Earth By An Int’l Team

Facebook may start production of its own microprocessors

Long-Term Alcohol Monitoring Could Be Possible With A New Injectable Chip Developed By U.S. Researchers

Sweden Now Has The First Electrified Road In The World

World Politics

World & Politics

The British government is trying to unblock money to pay off the national debt

Ministerial Visit From India To North Korea Aimed At Strengthening Ties

What countries are the biggest losers of Trump’s Iran decision?

World's Oldest Elected Prime Minister Is Malaysia’s 92 Year Old Mahathir Mohamad

Why Is U.S. Pulling Out Of The Iran Deal A Big Deal For The World

Merkel, Macron, May call on Iran to adhere to the nuclear deal

Arab Region Driven In ‘Wrong Direction’ In Last 10 Years, Say Arab Your: Survey

German doctors demand a tax on sugar