(Toshiba) Toshiba shares rose 4% on Friday before retreating after the company said it would set up a special committee to evaluate potential take-private bids.
The committee is expected to engage potential bidders, investors, and sponsors, including reviewing strategic alternatives for the company.
US private equity firm, Bain Capital, is one of the companies said to be at an advanced stage for a bid. The company still noted a range of political and technical issues of taking the conglomerate private.
Some senior figures at Toshiba have reportedly agreed that a take-private deal would be the best for the company amid growing business turmoil and agitation by activist investors.
The latest developments occur even as sensitivities around Toshiba’s core businesses keep away potential bidders, with any buyout deal expected to include a significant contingent of Japanese investors.
If the take-private deal materializes, it would mark the exit of the 146-year-old conglomerate, whose market value is about $17 billion.
6502: TYO is up +1.86%.
