The history of financial and management soap operas Toshiba is about to be completed, thanks to closing of the purchase agreement for 78.65% of its shares that will execute the consortium of 20 companies led by the Japan Industrial Partners fund (JIP). The sale will materialize on September 27, the date from which Toshiba will cease to be listed on the stock market after 74 years, and will become private.
For the purchase to be successful, Japan Industrial Partners had to acquire at least two-thirds of Toshiba’s shares. To achieve this, since it became aware of the offer, Toshiba launched a plan to stop the sale of its titles, and acquire as many as it could. Finally, the plan has been successful, since JIP has managed to make an offer for a total of 340,459,163 titles. The amount paid by them exceeds 12.6 billion euros.
With them owned, Japan Industrial Partners has 78.65% of the total, as we have mentioned, and also the same percentage of voting rights in Toshiba. For now there are few details about the plans that the conglomerate of entities has for Toshiba, apart from providing stability.
Of course, at JIP they seem to be sure that Toshiba has growth potential, and they are willing to «focus on medium and long-term growth over short-term results«. Despite this, this does little to clarify what it implies for its portfolio of products and services, which is extremely broad. In addition to semiconductors and various IT equipment, Toshiba manufactures everything from batteries to trains and heavy machinery.
As stated by the Toshiba CEO Taro Shimadain a message to the company’s shareholders «The takeover bid for Toshiba Corporation shares, executed by TBJH since August 8, 2023, has been successfully completed on September 20, 2023. The Company has made the decision to support it and recommends that shareholders offer their securities in this offer . We are grateful to many of our shareholders for being understanding of the company’s position on this matter. The company will implement various procedures for the privatization of the company’s shares from now on. The Toshiba Group will now take a big step towards a new future with a new shareholder«.