Japanese chipmaker Rohm Co Ltd is planning to join Toshiba Corp TOSYY buyout proposal.
Rohm will join a consortium led by private equity fund Japan Industrial Partners (JIP), which is currently chalking out a proposal.
The chipmaker is planning to contribute about ¥300 billion out of the proposed ¥2.2 trillion acquisition, Reuters reported.
The JIP, is reportedly seeking about ¥1.4 trillion from banks and is also urging companies, including Chubu Electric Power Co Inc and Orix Corp, to join the bid.
JIP’s rival group Japan Investment Corp (JIC), meanwhile has received approval to increase the fund side to ¥900 billion from ¥200 billion.
Rohm and Toshiba manufacture power management chips for electric cars, electronic devices, and industrial equipment.
Price Action: TOSYY shares closed higher by 0.38% at $17.31 on Tuesday.
