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Toshiba’s Preferred Bid Group Weighs Lower Offer After Weak Earnings, Sources Say

  • Some JIP consortium partners hesitant, talks ongoing
  • Consortium is Toshiba’s preferred candidate among bidders
Updated on

A consortium led by Japan Industrial Partners Inc. is considering lowering its offer for Toshiba Corp. from about $16 billion, according to people familiar with the matter.

While discussions are still ongoing, and no final decisions have been made, some members of the consortium have become hesitant about the proposed valuation for the company, citing its disappointing recent earnings, the people said. Earlier this month, Toshiba reported second quarter operating income of 7.55 billion yen ($54.4 million), coming in below analyst estimates. It also cut its operating income forecast for the full year.