Summary
Western Digital Corporation (WDC) filed an 8-K on June 21, 2017, primarily to disclose their reaction to Toshiba Corporation's announcement regarding the sale of Toshiba's interests in their joint NAND flash-memory ventures. The filing confirms that Toshiba has selected a consortium led by SK Hynix Inc. and Bain Capital Japan, with significant funding from Japanese government entities, as the preferred bidder. This development is significant for WDC as it directly impacts their joint venture operations with SanDisk, a subsidiary acquired by WDC. Investors should note that while the filing itself does not contain new financial data, it serves as an official channel for WDC to acknowledge and respond to a critical event within their supply chain and strategic partnerships. The company's press release, incorporated as an exhibit, is expected to provide further details on WDC's perspective, any potential implications for their business, and their ongoing relationship with Toshiba and the new ownership group. The market will be watching for any further statements or strategic adjustments from WDC in light of this sale.
Key Highlights
- 1Western Digital (WDC) acknowledges Toshiba's selection of a preferred bidder for its stake in NAND flash-memory joint ventures.
- 2The preferred bidder is a consortium led by SK Hynix Inc. and Bain Capital Japan.
- 3Funding for the acquisition is largely provided by Japanese government funds (Innovation Network Corporation of Japan and Development Bank of Japan Inc.).
- 4These joint ventures are operated in conjunction with WDC's SanDisk subsidiaries.
- 5The filing was made on June 21, 2017, with the event date being June 19, 2017.
- 6The primary purpose of the 8-K is Regulation FD Disclosure, incorporating a press release (Exhibit 99.1) detailing WDC's response.