Thursday, September 28th 2017

Toshiba Sells its Memory Business to Bain Capital for $18 Billion

Toshiba today announced that it has signed an agreement with a consortium led by Bain Capital to sell its memory business for JPY 2 trillion (approximately USD $18 billion). The consortium includes Korean memory giant SK Hynix, which contributed JPY 395 billion (nearly 20 percent) of the consortium's investment toward acquisition of Toshiba Memory Corp. Apple and Dell are the other members of the consortium.

Toshiba Corporation (erstwhile parent of Toshiba Memory Corp.) continues to hold a 40.2 percent stake, which along with another Japanese company, Hoya Corporation, holding a 9.9 percent stake, ensure that Japanese firms hold 50.1 percent of the business, keeping Japanese regulators happy. The Bain Capital-led consortium will hold a 49.9 percent stake, ensuring that Toshiba Memory Corp. stays afloat, and away from rival Western Digital, which has dragged Toshiba to a multitude of international courts and arbitrators. Apart from SK Hynix, the Bain Capital-led consortium includes Apple and Dell, who feared they would lose DRAM and NAND flash price bargaining power if Toshiba Memory fell in the hands of Western Digital, which owns SanDisk.

Sources: Toshiba, CNBC
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9 Comments on Toshiba Sells its Memory Business to Bain Capital for $18 Billion

#1
cdawall
where the hell are my stars
Now how long until SKhynix is out of business for owning OCZ
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#2
StrayKAT
Freaking Apple.. I doubt Dell was that much behind it.

And it's probably barely for their computers. It's phones.

Oh well.
Posted on Reply
#3
ssdpro
cdawall said:
Now how long until SKhynix is out of business for owning OCZ
That is the hilarious part. One really never had to do with the other but facts are facts, it did and could happen. OCZ has infected whatever it touched. OCZ Technology infected OCZ Storage Solutions (Toshiba sub) then OCZ Storage Solutions infected Toshiba as a whole.

Seriously though, I don't think SK Hynix is really in jeopardy here, they have a 20% stake and Toshiba/Hoya still hold 50.1 percent meaning control. Toshiba still gets 40% of the profit the Hoya/Toshiba combo maintains 50.1 share for control. The throw ins get memory deals and Bain gets $$$. Seems like all is well.
Posted on Reply
#4
FordGT90Concept
"I go fast!1!11!1!"
StrayKAT said:
Freaking Apple.. I doubt Dell was that much behind it.

And it's probably barely for their computers. It's phones.

Oh well.
The NAND memory problem is global. At this point, I don't care who bought it as long as production keeps ramping. Demand is.


I'm hopeful Toshiba can turn Westinghouse around. We really need new, advanced, easily certified reactor designs.
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#6
Prima.Vera
Another Japanese company going down...
Bad management, lack of vision, inflexibility to changes, those are the main reasons that now Japan is no longer the leader in Electronic products and technologies. And it's also clearly seen in the Japanese economy which is getting lower and lower every year....
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#7
remixedcat
Ugh. -_- bain capital is partially owned by shit stain mccain and romney and it's gonna be a chinese knock off shit brand. Also they own 16% of the dodgy android app market and the ones that spy of people the most as well as other stuff.... bain capital is bad bad bad!
Posted on Reply
#8
remixedcat
ZoneDymo said:
R.Money
Romney (FTFY)
Posted on Reply
#9
StrayKAT
Prima.Vera said:
Another Japanese company going down...
Bad management, lack of vision, inflexibility to changes, those are the main reasons that now Japan is no longer the leader in Electronic products and technologies. And it's also clearly seen in the Japanese economy which is getting lower and lower every year....
It's why I'm getting a bit politically minded lately (in terms of Tech) and wish to back American.. there's an opportunity here. But I wouldn't mind seeing opportunity everywhere either. I just don't want everything China/Taiwan/SK. It's amazing how quickly this all changed, even from the 90s. Even the freaking Netherlands had a game console once (granted, it had Motorola hardware, I think... but that just proves my point again).
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