Top Japanese banks have agreed to issue letters this week committing to a $10.6bn loan to back a Japan Industrial Partners-led consortium’s takeover offer for Toshiba, Bloomberg News reported on Tuesday.
Sumitomo Mitsui Financial Group will commit to lending 515 billion yen, Mizuho Financial Group 460 billion yen and Sumitomo Mitsui Trust Holdings 220 billion yen, Bloomberg said, citing unidentified sources.
Mitsubishi UFJ Financial Group and Aozora Bank are also participating, it said.
Mizuho, Mitsubishi UFJ, Aozora and Sumitomo Mitsui Trust declined to comment when contacted by Reuters. Sumitomo Mitsui Financial Group could not be reached immediately for comment.
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The buyout led by private equity firm JIP would also include 1 trillion yen in equity to be provided by a number of Japanese companies including financial services group Orix Corp, chipmaker Rohm Co and Japan Post Bank, sources have said.
Toshiba named the JIP-led group as its preferred bidder in October. The private equity firm was then asked by Toshiba to provide commitment letters from banks by Nov. 7, something it was unable to secure by that date.
Source: Reuters
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