China approves Toshiba's sale of US$18 billion chip unit to Bain-led group
The anti-monopoly review had been the last and biggest hurdle to a successful sale of Toshiba Memory
Toshiba Corp said on Thursday that China regulators have approved the US$18 billion sale of its chip unit to a consortium led by US private equity firm Bain Capital, marking the end to a year-long saga surrounding its most prized asset.
The anti-monopoly review had been the last and biggest hurdle to a successful sale of Toshiba Memory, the world’s No. 2 producer of NAND chips.
The Bain consortium last year won a long and highly contentious battle for the business, which Toshiba put up for sale after billions of dollars in cost overruns at its Westinghouse nuclear unit plunged it into crisis.
Any approval of the deal would come at a time of trade tension between China and United States, which has fanned fears Beijing would delay reviews of major global chip deals. Xi Jinping confidante Liu He is currently in Washington to discuss the trade dispute.
“All antitrust approvals have now been received and we are looking forward to closing this investment,” Bain Capital said in a statement on Thursday.
“The Bain Capital-led consortium has committed to make significant capital investments to help develop and grow semiconductor technology.”