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Toshiba shares surged as the beleaguered conglomerate looks set to restart negotiations for the sale of a majority stake in its memory chip business.
A successful sale would assist Toshiba in shoring up its balance sheet as it attempts to recover from an accounting scandal and the recent $6.3bn writedown on its US nuclear business.
Japan’s Nikkan Kogyo reported that Taiwan Semiconductor Manufacturing Company may boost its cooperation with Toshiba by investing in its chip unit. Apple and Microsoft are also reportedly interested in the business, while the likes of South Korea’s SK Hynix, Taiwan’s Foxconn and private equity fund Silver Lake are also thought to have been in the mix.
Analysts have estimated Toshiba’s memory chip business is worth up to ¥2tn ($17.6bn).
Shares were up 11.7 per cent – on track for their biggest one-day gain since March 2011 – but had been up by as much as 13.1 per cent. So far this year, the stock is down 27.7 per cent.
Meanwhile, Toshiba announced yesterday announced it would sell all its shares in Toshiba Medical Finance to Canon for ¥31.4bn. Early last year the company sold its medical devices unit to Canon for $6bn as it began offloading assets following news of an accounting scandal at the once-venerable industrial conglomerate.