Japan’s Toshiba Corp. said on Wednesday it had received an offer for an acquisition from private equity firm CVC Capital Partners in a deal that could be valued at more than $ 20 billion if completed.
Toshiba said it would ask for more details about the offer and consider it carefully.
Toshiba shares rose 18 percent in Tokyo trading on Wednesday to close at 4,530 yen, or equal to $ 41.26, the highest since December 2016, giving the company a market cap of nearly $ 19 billion, the Nikkei newspaper said CVC offers. 30%, pointing out that the offer would value Toshiba slightly more than $ 20 billion.
CVC declined to comment.
The deal will be one of the largest leveraged acquisitions in history, according to Dealogic, and perhaps the largest in Asia compared to a 2018 deal led by Bain Capital to buy its flash memory. Toshiba, in leveraged acquisitions, financial firms such as CVC used borrowed money to acquire businesses, typically hoping to improve operations and sell them for a profit later.