AFP-Jiji TOKYO (AFP-Jiji) — Struggling conglomerate Toshiba Corp. said Tuesday it has decided to sell its television business to China’s Hisense Group as part of its efforts to restore its balance sheet.
Toshiba agreed with the Chinese group to sell 95 percent in shares of its unit Toshiba Visual Solutions (TVS) for about ¥12.9 billion, it said in a statement.
“Toshiba has been considering structural reforms that will ... strengthen Toshiba’s financial base,” the firm said.
“It has become difficult for Toshiba itself to further invest its management resources and execute measures to strengthen the competitiveness” of the TV business, it said. Accordingly, it determined that the best way to strengthen the business is “to transfer it to Hisense.”
After months of wrangling with competing bidders, Toshiba said in September it had formally signed an agreement to sell its chip unit for ¥2 trillion to a consortium led by U.S. investor Bain Capital, which included U.S. tech giants Apple and Dell as well as South Korean chipmaker SK Hynix.