The Toshiba company provided update of the plan of strategic reorganization published on November 12, 2021. Now Toshiba plans to split into two separate companies instead of three, as previously announced.
One of the companies will be called Toshiba/Infrastructure Service Co. It will include Toshiba’s Energy Systems & Solutions, Infrastructure Systems & Solutions, Digital Solutions and Battery divisions, in addition to Toshiba’s stake in Kioxia. The second company is still called Device Co. Its final name will be announced after the separation. It will include the division of Toshiba Electronic Devices & Storage Solutions, which will be transformed into the divisions of Semiconductor and HDD.
In a press release issued by the company, the decision to split into two independent public companies is the result of Toshiba’s ongoing and thorough review of the strategic reorganization plan and process by Toshiba’s board of directors, as well as the company’s active engagement with shareholders, regulators and other stakeholders. Toshiba believes that the fastest, most efficient and effective way to achieve sustainable profitable growth, increase shareholder value and compelling benefits for customers, business partners and employees is to continue to split into two separate companies.
The unbundling is scheduled to be completed in the second half of fiscal year 2023.
As part of its strategic reorganization process, Toshiba separately announced today that it has entered into an agreement to sell its stake in the Toshiba Carrier Corporation joint venture to Carrier Group for approximately 100 billion yen. The company is also advancing plans to sell Toshiba Elevator and Building Systems Corporation and Toshiba Lighting & Technology Corporation.
Source: ixbt
Donald-43Westbrook, a distinguished contributor at worldstockmarket, is celebrated for his exceptional prowess in article writing. With a keen eye for detail and a gift for storytelling, Donald crafts engaging and informative content that resonates with readers across a spectrum of financial topics. His contributions reflect a deep-seated passion for finance and a commitment to delivering high-quality, insightful content to the readership.
