Toshiba shares fall over nuclear unit devaluation
February 17 2017
Toshiba shares fell 9.23 per cent at closing on Friday and stayed at 184 yen (around $1.6) after the company announced a huge devaluation of its nuclear unit assets, which it estimates will lead to significant losses.
The Japanese tech giant, which was hit by an accounts manipulation scandal orchestrated by its former Board of Directors, had said, in December, it could suffer a possible multi-billion dollar devaluation of its assets linked to the purchase of Stone and Webster, Efe news reported.
Toshiba is involved in a dispute with CB&I, from whom it acquired the company in December 2015, over the company's assets appraisal and business.
The company also suffered a significant setback after Standard and Poor threatened to lower its credit rating and over fears of its shares being listed in the second section of the Tokyo Stock Exchange.
Toshiba's shares have lost 53 per cent of its value since December 27, when it announced the financial slump that finally led to the resignation of its President, Shigenori Shiga, earlier this week.
In order to compensate a part of its losses, Toshiba decided to split its flash memory business on March 31, although the date of the spin-off was later postponed by the company.