CVC pitch to buy Toshiba rejected
April 22, 2021
By Chris Forrester
Toshiba has rejected a bid by private equity business CVC Capital to buy the Japanese electronics giant, citing “lack of detail” in the proposal.
“As this preliminary proposal lacks the required information the board has concluded it is not possible to evaluate it,” Toshiba said in a statement.
However, CVC also responded by saying that its proposed bid “was and continues to be contingent on obtaining the full support of your board and management team”.
Sources told Reuters that the Toshiba letter meant that the CVC proposal was likely die, but that the buyout proposal had received some internal approval.
That ‘internal approval’ might refer to Toshiba Corporation’s president and CEO Kurumatani Nobuaki who resigned on April 14th, and was a former head of CVC’s Japanese business.