ArrowArtboardCreated with Sketch.Title ChevronTitle ChevronIcon FacebookIcon LinkedinIcon Mail ContactPath LayerIcon MailPositive ArrowIcon Print
Toshiba in turmoil

Activist funds flock to Toshiba's massive share offering

Desperate move to stave off delisting may create future challenges

Toshiba shareholders seen heading into an extraordinary shareholders meeting last month.

TOKYO -- Toshiba's decision to raise 600 billion yen ($5.33 billion) through a private share placement has sharply improved the odds of the company avoiding a stock delisting. But the Japanese conglomerate may be giving up management freedom in exchange for offering new shares to dozens of foreign hedge funds.

These include major funds from the U.S., Europe, Asia and Australia, with the largest investor being Singapore-based Effissimo Capital Management. Some well-known U.S. activist funds are also taking part, including Daniel Loeb's Third Point and Paul Singer's Elliott Management.

Sponsored Content

About Sponsored Content This content was commissioned by Nikkei's Global Business Bureau.

Discover the all new Nikkei Asia app

  • Take your reading anywhere with offline reading functions
  • Never miss a story with breaking news alerts
  • Customize your reading experience

Nikkei Asian Review, now known as Nikkei Asia, will be the voice of the Asian Century.

Celebrate our next chapter
Free access for everyone - Sep. 30

Find out more