Toshiba Tec shares rise more than 6 percent on sale report

Sun Mar 12, 2017 8:37pm EDT
 
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TOKYO (Reuters) - Shares in Toshiba Tec Corp (6588.T: Quote) rose more than 6 percent in early Monday trading after a report that Toshiba Corp (6502.T: Quote), the parent, is considering selling shares in the company.

Toshiba Corp denied a Nikkei business daily report that it was looking to sell shares in Toshiba Tec, a maker of cash register systems, as it seeks to plug an upcoming $6.3 billion writedown for its U.S. nuclear unit.

Toshiba has selected an advisory firm to help find a buyer soon for Toshiba Tec, the paper said. The sale price for the entire 50.02 percent stake in Toshiba Tec would likely be around 100 billion yen ($870 million), the Nikkei said.

Toshiba Tec shares were trading at 645 yen, up 5.2 percent from Friday's close, as of 2420 GMT (8:20 p.m. ET).

Toshiba is in the middle of the process of selling a majority or all of its stake in the flagship memory chips unit, the world's second-biggest NAND chip producer, which it vales at at least $13 billion.

Earlier this month Toshiba sold almost all of its stake in affiliate Toshiba Machine Co (6104.T: Quote) for $134 million to raise cash.

(Reporting by Chang-Ran Kim and Junko Fujita; Editing by Stephen Coates)

 
Reporters raise their hands for a question during a news conference by Toshiba Corp CEO Satoshi Tsunakawa and other senior sompany officials at the company's headquarters in Tokyo, Japan February 14, 2017. REUTERS/Toru Hanai