Toshiba valued at $16 billion by JIP in a takeover bid | Catch My Job

A consortium led by Japan Industrial Partners (JIP) is considering a takeover of Toshiba Corp worth about 2.4 trillion yen ($16.1 billion) in what could be the biggest buyout in Asia this year, according to people familiar with the matter.

The JIP-led group, which is the preferred bidder to take the Japanese industrial group private, plans to provide 1 trillion yen in cash while seeking financing totaling 1.4 trillion yen from banks, along with a committed 200 billion yen credit line capital at work, said the people, who asked not to be identified because the matter is private.

Toshiba told its regular meeting with banks, including Sumitomo Mitsui Banking on Oct. 20, that JIP valued the company at about 2.4 trillion yen and asked them to provide financial support, the people said.

Shares in Toshiba are up about 17% this year, giving the conglomerate a market value of about $15.7 billion. The 2.4 trillion yen offer would be worth about 5,541 yen per share, according to Bloomberg calculations, similar to Toshiba’s closing price of 5,391 yen per share on Monday in Tokyo.