Toshiba Memory Holdings to Implement 1.2 Trillion Yen Financing Through Preferred Stock and Loans

TOKYO – () –Toshiba Memory Holdings Corporation, the global leader in memory solutions, today announced that its board of directors has agreed today with Sumitomo Mitsui Banking Corporation, MUFG Bank, Ltd., and Mizuho Bank, Ltd., (hereafter: key financial banks), take 900 billion new loans and an additional 100 billion yen commitment line, aimed at further strengthening the business base and capital structure of the company. The board of directors also today decided to issue 300 billion yen of non-convertible bond-type preferred shares as a third party grant to Development Bank of Japan Inc., bringing the total amount of new financings. to 1,200 billion yen. Both funding initiatives are expected to be implemented by the end of June.

The new financing will be used to refinance loans totaling 600 billion yen from its main financial banks for the acquisition of Toshiba Memory Corporation last June by KK Pangea, a special purpose company formed by a consortium led by Bain Capital Private Equity, LP. The company will also reorganize its capital structure through measures including the early redemption of existing preferred shares of the non-convertible bond type.

Toshiba Memory Holdings will continue to improve its competitiveness by deploying various financial measures in the future. This will include implementing cutting-edge R&D focused on flash memory and responding to promising market trends with strategic investments in its “K1” manufacturing facility in Kitakami, Iwate Prefecture, Japan.

About Toshiba memory

Toshiba Memory Group, a global leader in memory solutions, is engaged in the development, production and sale of flash memory and SSDs. In April 2017, Toshiba Memory was split from Toshiba Corporation, the company that invented NAND flash memory in 1987. Toshiba Memory is pioneering cutting-edge memory solutions and services that enrich people’s lives and broaden horizons of life. the society. The company’s innovative 3D flash memory technology, BiCS FLASH ™, is shaping the future of storage in high density applications, including advanced smartphones, PCs, SSDs, automotive and data centers. For more information on Toshiba Memory, please visit https://business.toshiba-memory.com/en-jp/

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