TOKYO -- Talks to merge the computer businesses of Toshiba, Fujitsu and Sony spinoff Vaio have bogged down over topics including their future growth strategy, with the trio now aiming for an agreement by June after missing the end-of-March target.
They most likely plan to form a joint holding company to oversee the three computer businesses. This would let them keep their brands while streamlining procurement and other processes, gradually eliminating overlapping products and operations.
Toshiba has finalized deals to sell medical equipment and home appliance operations, completing most of its restructuring efforts triggered by an accounting scandal. It spins off its personal computer business Friday.
The company "is now in a position to make profits" thanks to staff cuts and other measures, a Toshiba official said.
"We don't have to rush into an agreement," the official said.
Toshiba, Fujitsu and Vaio are expected to flesh out further details regarding the consolidation of facilities and their stakes in the new holding company, among others.