Toshiba, banking on medical unit sale, drops plans for more loans


Money needed: Toshiba is restructuring after a US$1.3bil (RM5.38bil) accounting scandal.

Toshiba Corp is set to drop plans to seek about US$1.8bil (RM7.45bil) in additional loans as its planned sale of a medical unit will likely provide it with enough funds for the time being, sources familiar with the situation said on Tuesday.

Toshiba was seeking around 200bil yen (RM7.29bil) from Sumitomo Mitsui Banking Corp, Mizuho Bank and Sumitomo Mitsui Trust Bank to fund a restructuring in the wake of a US$1.3bil (RM5.38bil) accounting scandal, separate sources said earlier this month.

Toshiba last week said it granted Canon Inc exclusive negotiating rights to buy its medical equipment unit after a hotly contested auction, with one source with knowledge of the talks putting Canon's offer at more than US$6bil (RM24.85bil). —  Reuters

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