Published: Wed, September 13, 2017
Money | By Armando Alvarado

Western Digital Corporation (NASDAQ:WDC) Stock Rating Reaffirmed by Cowen and Company

Western Digital Corporation (NASDAQ:WDC) Stock Rating Reaffirmed by Cowen and Company

Toshiba Corp. has once again chose to hold off on making a decision on the buyer of its chip unit at a board meeting as negotiations with a Western Digital Corp. -led group have stalled, sources close to the matter said Tuesday.

Apple Inc has sought to stop Western Digital Corp from taking control of Toshiba Corp's chip business by threatening not to buy its products in the future, people with knowledge of the deal said. -South Korean group had said that Bain Capital and other entities in the group would take over INCJ and DBJ's investment until the legal spat with Western Digital is resolved while raising the price tag for Toshiba Memory Corp to 2.4 trillion yen, becoming a strong contender.

The sale is seen as crucial for the struggling Toshiba to plug massive losses at its U.S. nuclear division, Westinghouse Electric.

According to Reuters, the Western Digital-led consortium has also increased its bid, but now needs to allay Toshiba's fears that its bid could be embroiled in an investigation with anti-trust authorities, either in Japan or elsewhere, given its dominance of the hard-disk storage market and its ownership of NAND flash brand SanDisk.

North Korean envoy just warned the US will suffer "greatest pain"
It also allows states to inspect vessels on the high seas suspected of carrying items prohibited by the sanctions regime. More than 90,000 North Korean workers employed overseas bring the regime about a half billion dollars a year.

Western Digital shares are up 2.03% premarket.

As Toshiba stated in an announcement on August 31, that the company has been in continuing negotiations with three consortia of potential purchasers of TMC. No financial terms were provided by the unit has attracted bids in the region of $18 billion US dollars, according to previous reports. Following the completion of the sale, the chief financial officer now owns 88,207 shares of the company's stock, valued at approximately $7,142,120.79. It now wants to become a minority investor in the business, part of a group that also includes Apple.

"We think the outcome is a positive for Western Digital", Daryanani wrote.

Toshiba finally seems ready to sell its chip business, with a group led by Western Digital in prime position to make the purchase. During the same quarter previous year, the company posted $0.79 earnings per share.

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