Toshiba Corporation (hereafter Toshiba) announced that it has decided to sell a part of its stock holding in Toshiba Machine Co., Ltd. (hereafter Toshiba Machine). The details are as follow.
1. Outline of Sale of Stock
(1) Outline of Toshiba Machine
Location: Numazu-shi, Shizuoka Prefecture, Japan
President: Reiji Nakajima
Listed on the first section of the Tokyo Stock Exchange, code number 6104.
(2) Number of stock to be sold
22.24 million shares (planned), about 13.3% of total shares issued.
As a result of this sale, Toshiba's holding in Toshiba Machine will be reduced from 33.4% to 20.1%. The sale will be executed by a block trade managed by a securities company and in other ways, in consideration of the market. The total sales price is expected to be in the region of 20 billion yen, an estimate based on the average closing price of the stock during August 2007.
2. Reason for the sale
Toshiba decided on the sale in order to improve cash operations at Toshiba, and with consideration for the distribution and liquidity of Toshiba Machine's stock. After the sale, Toshiba Machine's relationship with Toshiba will be unchanged, and the company will remain a Toshiba affiliate accounted for by the equity method.
3. Timeline
The sale is expected to be completed within first half of FY2007.
4. Impact on Business Forecast
Toshiba will not amend its consolidated or non-consolidated business forecasts for the fiscal year to March 2008 at this moment. Toshiba will continue to review its business forecasts, and if it becomes necessary to revise the forecasts in the future, Toshiba will promptly disclose the revision. -Toshiba
Comment and add to the story without registration, but keep the comments meaningful please. Links are not accepted.
