Shareholders of
The effective investor approval for the
If the tender offer is agreed on and Toshiba becomes private, the company will be able to cut ties with overseas activist shareholders seeking short-term shareholder returns.
Toshiba is in the midst of restructuring efforts, struggling to recover from a spate of problems over the past decade, including an accounting scandal and massive losses in its
"The buyout allows us to push forward with a reform under a stable shareholder base," President
Not all investors were satisfied by the explanation, however, with some shareholders arguing that the offer price of
"It is rude to shareholders that Toshiba is trying to sell itself for such a low price," one of the shareholders said at the meeting.
Another shareholder also expressed doubt about the buyout plan, saying, "Would privatization really change the company for the better? I fail to see potential in the plan."
Toshiba, which announced in March the buyout offer led by the
Previously, Toshiba said it was undecided on whether to make such a recommendation despite the board's approval of the JIP offer, on hopes that that the fund may raise the offer price.
But the company eventually decided to recommend the offer due to the worsening business environment for its 40 percent-held chip affiliate
"The privatization will be a good opportunity for Toshiba to make a fresh start," a shareholder in his 40s said before the annual meeting. "I hope it will successfully rebuild itself as I believe the actual value of the company is more than the offer price."
==Kyodo
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