Troubled Toshiba getting $1.8-3.6 billion bids for its chips

Toshiba Corp President and Chief Executive Officer Hisao Tanaka attends a news conference in TokyoTroubled Toshiba has received bids ranging $1.8-3.6 billion for a 19.9 percent stake in its flash memory business.

Tosh needs to raise around $3 billion from the sale to make it worthwhile. The outfit needs to offset a multi-billion-dollar write down on its US nuclear power business.

Buyers for the Japanese company’s chip unit include SK Hynix and Micron and data storage firm Western Digital and financial investors such as Bain Capital.

Tosh would prefer bids from investment funds because it could conclude a deal quicker than with industry peers that may have to seek permission from competition regulators before any acquisition.

A Toshiba executive has said the company will consider not just the offer price when selecting a bidder but other conditions as well.

A Toshiba spokeswoman said the company could not comment on specifics of the sale process.

The Nikkei Business Daily reported market concerns that Toshiba could delay its third-quarter earnings release, without citing sources. On reporting earnings, Toshiba also plans to reveal the write down on its US nuclear business.