Toshiba Downgraded To 'BB-' After Tender Offer Succeeds; Kept On CreditWatch Negative

A tender offer by a special purpose company established by Japan Industrial Partners Inc. (JIP) for Toshiba Corp. has succeeded. We believe this will significantly worsen Toshiba's financial profile as it will highly likely take on ¥1.2 trillion in debt raised for share purchases by JIP's special purpose company. We lowered our long-term rating on Toshiba by two notches to 'BB-', and kept it on CreditWatch with negative implications. We will resolve our CreditWatch placement after carefully examining the impact of new parent company JIP on engagement with, and management and governance of Toshiba. TOKYO (S&P Global Ratings) Sept. 25, 2023--S&P Global Ratings today said it has lowered to 'BB-' from 'BB+' its long-term issuer credit rating on Toshiba Corp.

...September 25, 2023 - A tender offer by a special purpose company established by Japan Industrial Partners Inc. (JIP) for Toshiba Corp. has succeeded. - We believe this will significantly worsen Toshiba's financial profile as it will highly likely take on Ñ1.2 trillion in debt raised for share purchases by JIP's special purpose company. - We lowered our long-term rating on Toshiba by two notches to '##-', and kept it on CreditWatch with negative implications. - We will resolve our CreditWatch placement after carefully examining the impact of new parent company JIP on engagement with, and management and governance of Toshiba. TOKYO (S&P Global Ratings) Sept. 25, 2023--S&P Global Ratings today said it has lowered to '##-' from '##+' its long-term issuer credit rating on Toshiba Corp. We also kept the ratings on CreditWatch with negative implications. Meanwhile, we affirmed our 'B' short-term issuer credit and commercial paper program ratings. We downgraded Toshiba because we believe it is...

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