Toshiba board recommends shareholders support JIP-led $14bn buyout
TOKYO: Japan’s Toshiba Corp said on Thursday its board of directors has decided to recommend shareholders take up a tender offer from a consortium led by private equity firm Japan Industrial Partners (JIP).
The board earlier this year accepted the buyout offer, which would value the conglomerate at 4,620 yen a share or 2 trillion yen ($14.29 billion), but did not go as far as recommending shareholders tender their shares.
On Thursday, it said, “as a result of the transaction, the company would build a stable management base to implement a consistent business strategy to reform and grow the company over the medium to long term.”
Since 2015, Toshiba has been battered by accounting scandals and suffered heavy loss, and came close to being delisted.
It was then engulfed in a series of corporate governance scandals.
Toshiba plans to hold an online press conference on the matter at 1:00 p.m. (0400 GMT).