Toshiba to break up into two companies instead of three

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Sverige Nyheter Nyheter

The revised plan is expected to face pushback from foreign hedge funds, many of which have been opposed to any kind of split

Toshiba's headquarters in Tokyo, Japan, April 7 2021. Picture: Picture: KIYOSHI OTA/BLOOMBERG

Under the new restructuring, Toshiba will just split off its device business, including its power chip unit. Previously it had aimed to break up into three companies — one for energy and infrastructure, one for devices and one for flash memory chips. Some investors have said they suspect the new plan is designed to allow Toshiba to avoid a shareholder vote that would have required two-thirds approval.

Toshiba said even a three-way break-up would not need two-thirds approval under recently revised legislation.

 

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