Toshiba in turmoil?
Nobuaki Kurumatani is stepping down from CEO position according to Nikkei Asian News
- Chairman Satoshi Tsunakawa will take over as new CEO
- Company recently conducted detailed interviews with top executives at the company, and apparently over half expressed lack of confidence in Kurumatani
- Kurumatani was most likely going to be removed at upcoming shareholders’ meeting
- CVC Private Equity has offered $21 billion to buy Toshiba
- KKR is also reportedly going to make an even larger offer to buy company
- Reuters News is reporting that Japan Investment Corporation and Norinchukin Bank are also putting together an offer
- "This is the next big corporate governance test for Toshiba: whether they will run an open and transparent process, in line with METI's Fair M&A Guidelines," Seth Fischer, Oasis Management chief investment officer and Toshiba shareholder, told Reuters.
- Japan tightened rules last year on foreign ownership of strategically important
companies.
o Under these rules, foreign private equity bidders interested in Toshiba, whose technology is used in defense systems, could potentially be blocked from buying the company.