“The sale of the unit – the world’s second biggest producer of NAND chips – was agreed last week after a tortuous auction process but the signing was delayed because consortium member Apple Inc demanded new terms on chip supply, sources familiar with the matter have said,” Yamazaki reports. “‘This consortium has so many members that it is going to be hard to come to consensus and agree on who’s going to take the initiative,’ said Hideki Yasuda at Ace Research Institute, but he added that if the sale was successfully completed it would reduce a lot of risks for Toshiba… In addition to Apple, Bain’s consortium includes South Korean chipmaker SK Hynix, as well as Dell Inc., Seagate Technology Plc and Kingston Technology – all of which want access to NAND technology.”
“Although the news conference was canceled just minutes before it was due to begin, the head of Bain Capital in Japan, Yuji Sugimoto, said the disagreements over the briefing had no bearing on the contract,” Yamazaki reports. “The sale also faces legal challenges from Western Digital, Toshiba’s chip venture partner and rejected suitor, which is seeking an injunction to block any deal that does not have its consent.”
Read more in the full article here.
MacDailyNews Take: Leave it to Apple to extract a better deal at the last minute!
We have a feeling that this saga has not ended, just moved into a new chapter.
KKR said to be wooing Apple to switch sides in Toshiba bid – September 26, 2017
Bain Capital-Apple group to buy Toshiba chip business for $18 billion – September 21, 2017
Toshiba decides on Bain Capital-Apple Group in chip business sale – September 20, 2017
If Bain Capital bid for Toshiba succeeds, it could be Apple’s largest deal ever – September 14, 2017
Apple mounts a full-court press for Toshiba’s chip business, waging battle with Western Digital – September 8, 2017
Foxconn details plan to acquire Toshiba chips unit; Apple would own 20 percent – September 7, 2017
Bain Capital brings in Apple for last-minute $18 billion bid for Toshiba chip unit – August 30, 2017
Apple and Amazon to back Foxconn on Toshiba chip bid, Hon Hai Chairman Terry Gou says – June 5, 2017
Apple may bid for big stake in Toshiba – April 17, 2017
U.S. suitors get major advantage as Japan to vet bidders in Toshiba chip sale over national security risks – March 10, 2017