Following the completion of the takeover, which is expected to take place as early as in December 2023, the Japanese conglomerate will become a private company and will no longer be listed on the Tokyo Stock Exchange and the Nagoya Stock Exchange
Toshiba set to go private with JIP-led consortium. (Credit: 円周率３パーセント/Wikimedia Commons)
Toshiba announced that more than 340 million of its shares were tendered in favour of the previously announced JPY2 trillion ($14bn) takeover bid by a group led by Japan Industrial Partners (JIP).
The consortium garnered 78.65% of Toshiba’s shares through the process.
Owning over two-thirds of the Japanese conglomerate, the JIP-led consortium is expected to successfully complete the 100% takeover.
The consortium led by the Japanese private equity firm includes 17 domestic companies and six financial institutions.
Following the completion of the takeover, Toshiba will become a private company and will no longer be listed on the Tokyo Stock Exchange and the Nagoya Stock Exchange.
Toshiba representative executive officer, president, and CEO Taro Shimada said: “The Company will implement a series of procedures for the privatisation of the Company’s shares going forward. Toshiba Group will now take a major step toward a new future with a new shareholder.
“Even after privatisation, with our basic commitment of ‘Committed to People, Committed to the Future’ and the values of ‘Do the right thing,’ we will make best efforts to enhance the Company’s corporate value, and we would like to ask for your continued understanding and support.”
According to various media reports, the firm is expected to be delisted as early as December 2023.
Toshiba’s board accepted the takeover offer put forth by the JIP-led group in March 2023.
As per the terms of the transaction, the publicly listed conglomerate’s shareholders will receive JPY4,620 per share.
Around mid-2023, its board recommended shareholders to tender their shares in favour of the bid. The recommendation came after the board of directors’ meeting which considered the positive responses from the special committee established by the company.