Toshiba Weighs Chip-Unit Options With Deadline Out of Reach
- Regulatory approval in China not likely to come by May 1
- Chinese regulators are due to complete review by May 28
Toshiba Corp. is all but guaranteed to miss a May 1 deadline to sell its memory chips business to a Bain Capital-led group, people familiar with the matter said, raising the chances it may consider other options that could yield billions of additional dollars for the unit.
Chinese regulators are now conducting a third review of the deal, which is due to be completed by May 28, said one of the people, asking not to be identified because the discussions aren’t public. The process was originally supposed to be wrapped up by March 31. Toshiba and Bain want to finalize the current agreement, but they can’t wait forever, another person said. Toshiba shares rose as much as 5.3 percent in early trade on Monday, the biggest intraday jump since November.