TOSBF - Toshiba going-private tender offer set for Tuesday

2023-08-07 07:20:29 ET

Toshiba ( OTCPK:TOSBF ) ( OTCPK:TOSYY ) said Monday it will launch a $14B tender offer tomorrow to take the company private , potentially ending eight years of upheaval.

At least two-thirds of shareholders must tender their shares for the bid to succeed, and the outcome is far from clear.

The course of ongoing merger talks between memory chip maker Kioxia Holdings and Western Digital ( WDC ) could raise uncertainties, since Toshiba ( OTCPK:TOSBF ) ( OTCPK:TOSYY ) owns 40.6% of Kioxia and the stake is one of its most important assets.

It is reasonable to assume that the terms of the Kioxia deal currently are not "sufficiently definitive" to allow Toshiba ( OTCPK:TOSBF ) ( OTCPK:TOSYY ) to make a comprehensive assessment, the company said.

The tender offer, which values the conglomerate at ¥2T, will run until September 20; it had been scheduled to start in late July, but was pushed back due to a regulatory delay.

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