Unedited press release follows:
Restructuring of Optical Disc Drive Business
28 Mar, 2014 — TOKYO — Toshiba Corporation (Tokyo: 6502) today announced that it has entered into definitive agreements with Samsung Electronics Co., Ltd. (Korea: 005930) and OPTIS Co., Ltd. on the transfer of the optical disc drive (ODD) business that Toshiba operates in partnership with Samsung Electronics to OPTIS, a Korean company and manufacturing partner of ODDs.
Under the terms of the agreements, Toshiba Samsung Storage Technology Corporation (TSST), Toshiba and Samsung Electronics’ Japan-based joint holding company for the ODD business, will transfer to OPTIS its wholly-owned operating subsidiary, Toshiba Samsung Storage Technology Korea Corporation (TSST-K), in three years’ time. As the first step in the transfer process, OPTIS will subscribe to a new issue of TSST-K’s shares in April this year, which will dilute TSST’s shareholding in TSST-K to 50.1%.
Upon the execution of the agreements, TSST-K will continue to operate as before and maintain current employment.
Outline of Toshiba Samsung Storage Technology Korea Corporation
Capital: 5,375 million won
Sales: 996.8 billion won (FY2012)
President: Daesung Kim
Location: Suwon, Gyeonggi-do, South Korea
Businesses: Product and business planning, product development, procurement and sales of ODDs.