Toshiba accepts a takeover offer from a Japanese alliance of companies.

According to Nikkei newspaper, it has been reported that Toshiba is set to accept a takeover offer by a consortium consisting of Japan Industrial Partners (JIP).

The decision was passed in a board meeting on Thursday, and the acquisition is estimated to be worth around 2 trillion yen ($15.3 billion).

This step will complete the restructuring of Toshiba, which began after the company received its first acquisition offer in the spring of 2021.

After discussions by a special committee consisting of external directors, the board of directors made up of 12 members, including internal Toshiba directors, decided to accept JIP’s proposal.

JIP will continue with its acquisition offer and, after receiving approval, will purchase shares from current shareholders through its takeover bid, converting Toshiba into a private company.

The acquisition process will be funded through investments from approximately 20 Japanese companies, including Orix, Rohm and Chubu Electric Power, as well as loans from Japanese banks. The goal of the plan is to enhance Toshiba’s value by making it collaborate with these invested companies.

Last April, Toshiba began openly requesting proposals for restructuring, including delisting from the stock exchange. JIP, which obtained preferential negotiating rights through the bidding process, submitted an offer for acquisition in November. After receiving loan commitments from financial institutions, they presented a final proposal in February.

In 2015, Toshiba faced a financial crisis as accounting irregularities emerged and its subsidiary operating a nuclear power station in the US suffered significant losses. To avoid bankruptcy for two consecutive years, the company increased its capital by approximately 600 billion yen in 2017.