WDC - Western Digital gains on report it's trying to reach deal with Kioxia by next month

2023-07-14 14:15:51 ET

• Western Digital ( NASDAQ: WDC ) rose 1.9% amid a report that the memory-maker and Kioxia Holdings are trying to come to an agreement on a deal by next month.
• A transaction is expected to be structured as a tax-free spinoff of Western Digital's flash business, which will merge with Kioxia, according to a Bloomberg report on Friday, which cited people familiar with the matter. WDC holders will own slightly more than half of the merged company.
• The new company will be run by Kioxia executives, with Western Digital ( WDC ) executives also involved, according to the report. The merged entity would trade on the Nasdaq, though it would eventually list on the Tokyo Stock Exchange.
• The latest update on a potential deal comes after Reuters said in May that discussions with Kioxia Holdings are speeding up and getting closer to a deal structure.
• Developing story ...

For further details see: