TOKYO (Reuters) – Japan’s Toshiba Corp said on Monday it planned to monetise its 40.2% stake in former flash memory chips unit Kioxia Holdings, stating its intentions of a potential stake sale for the first time.
In a statement, Toshiba also said it planned to return a majority of the net proceeds to shareholders, a step that some activist fund investors have been demanding.
Toshiba plans to gradually unwind the Kioxia stake after the world’s second-largest flash memory chip firm lists its shares in an IPO later this year, people familiar with the matter said on Saturday.
Shares in Toshiba jumped more than 6% in early trade on Monday.
(Reporting by Makiko Yamazaki and Chang-Ran Kim; Editing by Kim Coghill)
