Chip Firm: Chip Unit and Toshiba

chip firm: The development comes after a bitter feud over whether the Japanese firm needs the U.S. partner's consent for the deal. ; Western Digital, a joint investor in Toshiba's Yokkaichi flash memory plant in Mie Prefecture, is set to buy 150 billion 1.3 billion of the chip firm's convertible bonds, according to The Japan Times. Western Digital's voting rights will be limited to roughly 15 percent when it converts the bonds, the sources said. Toshiba and Western Digital, which are partners in a flash memory venture, are close to reaching a deal over Toshiba's sale of its chip unit, Toshiba Memory Corp. While the two companies plan to take the chip unit public in roughly three years, Western Digital's stake will still be limited to no more than one-third of all shares, even if the U.S. firm goes ahead with plans to buy additional shares, meaning it will not have veto power over management issues, the sources said. Toshiba President Satoshi Tsunakawa and Western Digital Chief Executive Officer Steve Milligan held talks Monday and reached a broad agreement on the sale of Toshiba Memory. Toshiba and Western Digital are still discussing when the U.S. firm will buy additional shares in the chip firm, the sources said. (news.financializer.com). As reported in the news.