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Toshiba may sell its Westinghouse shares

13 July 2015
Electricity
energynomics

Toshiba Corp, which is expected to write down profits due to an accounting scandal, is considering selling assets including part of its stake in Westinghouse Electric, sources with knowledge of the matter said on Thursday for Reuters.

The Nikkei business daily, which first reported the news, said the Japanese industrial conglomerate plans to generate about 200 billion yen (1.7 billion dollars) through the sales.

Toshiba may need to mark down past earnings by over 100 billion yen due to past accounting errors, a separate source has told Reuters. Some reports have put estimated write downs at as much as 200 billion yen.

The company said it had already been considering lowering its 87 percent stake in the U.S.-based nuclear power company and that this had nothing to do with its accounting investigation.

“We’ve been looking for a partner for some time. Our position hasn’t changed,” company spokesman Hirokazu Tsukimoto said, adding that Toshiba wanted to maintain a majority stake. He declined to comment on whether the company was in talks with any potential investors.

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