It looks like Toshiba can finally exhale, as it reaches deal to sell chip unit to Bain
Tokyo — Toshiba has agreed to sell its flash memory chip unit to a group led by Bain Capital and plans to invest ¥350bn ($3.1bn) alongside the US buyout firm, according to a person familiar with the matter. The Japanese company’s board agreed to the proposal at a meeting on Wednesday, ending a contentious bidding process that stretched over eight months. Under the agreement, Bain, Toshiba, SK Hynix and Japan’s Hoya will pay about ¥960bn for common and convertible stock, said the person, asking not to be named because the matter is private. Apple, Dell, Kingston Technology and Seagate Technology would spend about ¥440bn for convertible and nonconvertible preferred stock, the person said. The special purpose entity making the acquisition would be called Pangea and would receive about ¥600bn in loans, the person said.
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