Under an attempt to comply with Japan's regulatory laws, a buying group made up of some of the largest names in the computer market is approaching a giant deal worth 18 billion
The hardware business can be very complicated - as evidenced by the attempt to sell the development and production division of the storage chips of Toshiba In order to save the parent company from possible bankruptcy due to huge debts from its other failed fields of business.
News of the decision to sell the S-NAND Its high-quality and successful company arrived last year, and was verified with the announcement of the creation of a separate body called TMC (Toshiba Memory Corporation) that will coordinate all activities in the field. Now TMC is close to an agreement with a diverse group of buyers, with its value approaching $ 20 billion - and will leave the right of decision in practice in the hands of the parent company Toshiba.
The acquisition group KK Pangea was formed to compete for the right to take control of TMC, consisting of Toshiba's own launch, investment by an investment fund called Bain Capital, an investment by SK Hynix of Korea, and a significant investment from an American acquisition group consisting of Apple, Del and-Seagate, All of which are current clients of storage chips from Toshiba.
Although the investments in favor of the purchase deal (along with additional loans that Pangea will take on to complete the deal) are divided differently, Toshiba itself (along with another Japanese company) will be the ones to hold more than 50 percent control of TMC if and when the deal is signed. Where control of the body remains in Japanese hands and take precedence over the choice of existing proposals - while American investors will have no control over decisions in TMC, and will most likely settle for agreements that will give them some sort of priority in getting stock of chips NAND Even in the future.
This expensive and prestigious purchase option will be discussed and decided by the shareholders of Toshiba during October, and will be finally signed towards March 2018, assuming that everything will work smoothly - although at the same time there are legal proceedings taken by Western Digital, the owner of SanDisk. With Toshiba in the field of chip manufacturingNAND, In order to clarify the status of its rights in the large acquisition transaction of TMC.
WD and SanDisk want to make sure that the terms and rights they have enjoyed in the transactions Toshiba, And perhaps even to go in a more extreme direction and demand a block to the business acquisition of TMC, if they feel that they will experience any financial harm. So how will this whole saga end? See the next chapters.