More problems for Toshiba in the week in which it is going to hold an extraordinary meeting of shareholders to vote on its future plans. The discontent between them does not stop growing, and there are several who have decided to adhere to the proposal of 3D Investment Partners so that, instead of dividing the company in two, as its management intends, this request purchase offers from venture capital entities. Thus, this investor has been joined, according to Reuters, by the Norwegian Sovereign Wealth Fund and Florida State Board of Directors.
Both groups have respectively 1.22% and 0.22% of the titles of the group. They are therefore in the group of minority shareholders of Toshiba, and both reject the plan that seeks to divide it in two by creating a subsidiary from its device division, so it is practically certain to vote against the plans of the company at the meeting on March 24.
As we have mentioned, both entities own a small number of Toshiba shares, but as they are institutional investors of a certain weight, the proposal of 3D Investment Partners that they both support can become strong among other shareholders of the group, and get the group’s board of directors decide to explore other options before dividing the group.
The proposal also has the support of one of Toshiba’s outside directors who is not part of the board. But this has not made its members move from their position of dividing the company. Those who oppose his plans have so far only succeeded in dividing it into two instead of dividing it into three parts. And far from giving up and abandoning its plans, Toshiba’s management has said it will continue to make every effort to win shareholder support for its proposal to split Toshiba in two. But it is not going to be easy at all, since there are more shareholders of the company who have already stated that they will not support this proposal.
The third shareholder of the company, Farallon Capital Managementwhich owns more than 6% of Toshiba’s shares, also opposes its split and has called for vote in favor of soliciting purchase proposals to private venture capital funds. In the meantime, glass lewis, an entity that operates on behalf of other minority shareholders, has decided to support the proposal of 3D Investment Partners. But Institutional Shareholder Services will vote against this proposal. But also from that of the company, something that he will also do Effissimo Capital Partnerswhich owns 10% of the company’s shares.
