Company Toshiba Is left with no choice and receives approval from the investors to sell the largest asset that it has (almost) to the highest bidder
It's really unpleasant to see large and old technology companies crashing into the boards, but it's the big risk of expanding into many areas of business in a way that is not controlled and calculated enough - and that's about the bad situation Toshiba (Toshiba) these days.
After acquiring 2006 in the year 5.5 for a total of XNUMX billion, and in order to become the largest programmer and operator of nuclear reactors in the world, Toshiba Announces that it will start bankruptcy proceedings for the division due to huge consistent losses (which were also at the center of its financial reporting scandal two years ago) - and this is a move that will result in a loss of nine billion dollars (!!!) for it in 2017 alone. In such a situation, the future of the corporation which was born in 1938 is in complete danger of continuing down the road.
Toshiba will have to make drastic moves, if only to keep its head above water - and now the decision seems to be to part with the diamond in its crown: the large and profitable flash chip manufacturing division. According to the latest reports, Toshiba's key investors have inevitably approved the execution of a deal to sell the majority of the holding, or even a full sale, of the division.NAND To the highest bidder, in a move that is supposed to bring in about 15 billion, and perhaps even more to its depleted coffers.
While for the Japanese company it is a sad parting from the body it has built with great love for more than a decade, for the rest of the big technology companies in the market it is a real celebration, it seems - because not every day you get a chance to jump into advanced and evolving manufacturing without having to invest many billions In the research and development required to align with the players already based in it (but "only" a few billion in an array of factories that already operate and bring competitive and profitable output today, and not just as an option after years of huge investments).
Due to the importance of the product to be offered here, it is not surprising to discover that almost every major company in the world is mentioned as an interested and potential purchaser of the spoken NAND division: Western Digital and its subsidiary SanDisk, a joint production plant with Toshiba in Japan, NAND chip manufacturing plants are shared with Intel, SK Hynix, which is mainly known as a DRAM chip manufacturer and can take advantage of the situation to expand its supply. Computer giant Foxconn, chipmaker TSMC, Broadcom chip developer Apple, Google And Amazon are just a partial list of their names and may be of significant interest in making this investment.
There is no arguing that we can expect a not easy and long competition for the glorious division, although it is not certain that the one that offers the highest price will also win the whole box office - trade laws in Japan may block offers from China and Taiwan, and prefer those from the West. is very.
the mother Toshiba Will it itself survive as a company without its chip division, and in fact also without the nuclear facilities division that was previously presented as its second major pillar? This is also an interesting question to which the answer is still unclear - expect more updates from us down the road.