Feb 07, 2022 (Nikkei) - Toshiba announced a new reorganization plan on Monday, splitting itself up into two public companies instead of three, as it tries to line up support from key shareholders in a bid to transform itself into a more dynamic and profitable business group.
Under the new plan, the company's semiconductor businesses that include Japan Semiconductor and Toshiba Device will be spun off for public listing, allowing Toshiba to focus on infrastructure services such as power generation equipment, public transport systems, water supply and sewage systems. The main company will also own computer memory making subsidiary Kioxia and will oversee its eventual divestiture.
The plan represents the latest effort by Toshiba's management, led by CEO Satoshi Tsunakawa, to work with activist shareholders who make up the top three shareholders of the Tokyo-based company. They are Effissimo Capital Management and 3D Investment Partners, both of Singapore, and Farallon Capital Management of the U.S.
Toshiba will accelerate the divestiture of non-core assets in an effort to sharpen its focus on the infrastructure and semiconductor businesses.
Toshiba announced it has agreed to sell its 60% stake in air conditioner making subsidiary Toshiba Carrier to U.S. appliance maker Carrier Global, in a deal previously reported by Nikkei.
Source: ANNnewsCH
