Toshiba says goodbye: after 146 years, the company will be divided into three different companies

It took almost a century and a half so that Toshiba one of the Japanese companies most representative of the high-tech industry, say goodbye to your era. The firm announced that will be divided into three different companies after 146 years since its foundation. This decision would have been made under pressure from its shareholders. All three operations plan to dedicate themselves to semiconductors and could be merged with Western Digital for a multi-million dollar transaction.

Toshiba is one of the few symbolic companies of the long-standing high-tech industry in Japan and also one of the few that pre-date the post-war Japanese miracle.

The announced plans have stemmed from a lengthy transformation process dating back to the brand’s corporate scandals of 2015, according to Reuters.

The objective of Toshiba’s division into three different brands is primarily to enhance the value for shareholders, partners, and encourage them. Some of the prominent shareholders in this decision were Elliott Management, Farallon and Third Point.

The decision comes just over a year after the definitive closure of the laptop division was announced in August 2020. Toshiba’s laptops have been made since 1985.

Now, the brand will be separated into two central operations and public companies plus one that will attach all the rest. These are:

The rest will be reunited in a separate company that has a 40.6% stake in the manufacturer. Kioxia dedicated to semiconductors.

As announced, the entire reorganization will be completed in the second half of 2023. The third division mentioned above (related to Kioxia) could join Western digital according to reports, in a transaction that would amount to 20 billion dollars.

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