Toshiba and SanDisk announced Monday that their joint flash memory-manufacturing ventures are being restructured. As a result, Toshiba will gain a larger ownership stake, while SanDisk will reduce costs.
SanDisk said it has entered a nonbinding memorandum of understanding with Toshiba to sell approximately 30 percent of the current manufacturing capacity of the parties' joint ventures to Toshiba. "The move will significantly reduce SanDisk's capital spending, further strengthen its balance sheet, and reduce NAND flash memory production commitments," the company said.
SanDisk said it expects to receive cash and reduce equipment lease obligations by approximately $1 billion … Read more