Around the Toshiba Semiconductor Business, partners Western Digital is seeking ways to maximize benefits through new ways.
December 4, according to foreign media reports, the sale of semiconductor Toshiba subsidiary, the Western data is no longer trying to obstruct the two sides tend to reconciliation.
It is learned that in the Toshiba semiconductor business after the sale and listing, Western Digital intends to acquire part of the business stake.While Toshiba Semiconductor's main acquirer Bain Capital is in the final negotiations with the Western Digital, if agreed, Western Digital will no longer stop Toshiba to sell the same time, Toshiba will also withdraw Western data obstruct the transaction proceedings.
Review the incident, the important node in September this year, when Toshiba formally sold its semiconductor subsidiary to Bain Capital leading Japan-US-South Korea Alliance, the process of bidding, Toshiba and Western data disputes Constantly.The original two are partners in the semiconductor business (mainly flash memory chips), but due to the sale of semiconductor business in Toshiba and 'anti' in the Western data, the sale may lead to the leakage of its flash memory technology, but also affect the future Surplus income.
However, when bidding for Toshiba's semiconductor business, Western Digital finally lost its position, so the Western Digital turned to seek shares in the new company to occupy more voice.
Dispute and reconciliation
Western Digital has always been a big deal in Toshiba's sale of 'heart disease.' As the two sides in Japan, Mie Prefecture, Yokosuka City, a joint venture factory manufacturing flash memory chips, when Toshiba sold the chip business to get out of financial difficulties, the Western data 'breach of contract 'Immediately after the Western Digital aware of the sale has become a foregone conclusion, and then become a bidder to participate in Subsequently, Bain Capital, Apple, Hynix and other competitors won the Toshiba Semiconductor subsidiary, the Western Digital and Toshiba's conflicts intensified further and filed a lawsuit again.
However, according to people familiar with the situation, Western Digital actually has 'Plan B' outside of the bidding, while Western Digital said it expects Toshiba to make sure it occupies a favorable position among the semiconductor subsidiaries as a compensation.
Now it seems that the "compensation" negotiations continue irrespective of whether Western Digital has chosen to opt out, and plans to bring the semiconductor subsidiary to market after three years, following a smooth sell-off of flash memory under Toshiba's plan. Hope to get part of the shares of listed companies, Bain Capital is negotiating with them.
Signs of reconciliation have also begun to emerge.After the Toshiba factory Toshiba and Western Digital communication system was once closed, and now both sides continue to maintain good relations of cooperation, and Toshiba put forward the plan to jointly build a new factory.If the long-term internal friction, This is not good for Western Digital because it will affect the availability of new chips next year.
Chen Yongwei, a senior manager at DRAMeXchange, told 21st Century Business Herald: 'Toshiba and Western Digital are indeed working toward reconciliation. The current situation is that neither side will rule out the possibility of cooperation, and Western Digital hopes Can buy shares, and Toshiba hopes to Western Digital shares without affecting the management of the situation, but is unable to determine whether the successful settlement.
From TOSHIBA's stake, Bain Capital's consortium will hold 49.9% of Toshiba Semiconductor, Toshiba will hold 40.2%, Japan's HOYA will hold 9.9% .If the Nippon Industrial Innovation Agency and the development of Japan Follow-up investment in the bank, Japan's shareholding ratio is likely to climb to more than 50%.
Therefore, Chen Wei said: 'Because Toshiba accounted for the largest stake in the future if the Western Digital acquisition of shares, Toshiba will not affect the control of the semiconductor company.'
Tests
From Toshiba's recent developments, it is on the one hand to explore ways of resolving conflicts with Western Digital, and on the other hand to make up for the fiscal hole through capital increase and sale of other businesses, cushioning the uncertainty of the semiconductor acquisition. The same route, will also promote Toshiba's own reconstruction.
Specifically, although the settlement negotiations continue, Toshiba and Western data litigation is still underway, Tokyo District Court will be December 11 the second hearing of Toshiba's Western data hinder the prosecution of transactions.At the same time, "the Japanese economy News "also mentioned that the recent industry sources said the intention to withdraw the appeal of Western Digital.And the current flash memory business is hot, whether it is Western Digital, or other bidders will not easily let go of the business, in the" Japan-US-South Korea Alliance "within There are also competition for benefits.
According to statistics from the state consulting firm, flash memory prices rose more than 100% from the second quarter of last year to the third quarter of this year, and the prices in the first quarter to the third quarter of this year rose more than 20%. In the third quarter of this year, NAND Flash manufacturers ranked , Samsung's revenue and market share are ranked first, the city accounted for 37.2%; Toshiba's revenue and share of second only to Samsung, ranked second, the market share of 18.1%; from the market share, the first Three to six followed by Western Digital, Micron, Hynix and Intel.
However, even though Western Digital fully supports the sale, the deal is still under pressure from antitrust audits because there are other rivals such as Hynix in the acquirer. To pass antitrust scrutiny, Toshiba has already set aside a contract for SK hynix For 10 years, Hynix must not touch Toshiba's chip core technology within 10 years or acquire more than 15% of the voting power of semiconductor subsidiaries. In Chen's opinion, 'Toshiba Semiconductor sells antitrust without antitrust ), The current level is the dynamics of western data. "However, censorship still takes a long time.
The good news is that Toshiba's previous capital increase plan has been implemented.November 19, Toshiba announced a capital increase of about 6,000 billion yen (about 35.5 billion yuan) decision, December 5 Toshiba announced that the 600 billion day Has been raised in place with this huge sum of money, Toshiba can get out of the predicament of insolvent, even if the semiconductor subsidiary can not be successfully sold by the end of March next year, Toshiba will not delisting.In addition, Toshiba will sell television business Hisense Group Therefore, Toshiba's reconstruction plan can go further next year will be a crucial year.