Toshiba Rises After Share Buyback Announcement

Toshiba is undergoing a financial turnaround after selling its memory chip business to raise cash and avoid delisting. The sale, agreed with Bain Capital, was initially necessary due to financial troubles from its US nuclear business. Now, with an excess of cash, Toshiba plans to return capital to shareholders. The company is restructuring to focus on lower-risk ventures, moving away from large projects. This strategy aims to stabilize Toshiba's future, making it more conservative and diversified across various industries.

What was the primary reason for Toshiba selling their memory chip business?

• To raise cash and avoid delisting

• To merge with another company

• To expand their market share

• To invest in new technology

What financial issue did Toshiba face with their US nuclear business?

• They made a significant profit

• They lost billions

• They gained a new partnership

• They broke even

How did Toshiba's management plan to reward their investors after stabilizing the balance sheet?

• By issuing new shares

• By returning some capital to them

• By offering discounts on products

• By expanding into new markets

What is a key characteristic of Toshiba's future business strategy?

• Majority ownership in memory chips

• A more conservative approach

• Focus on consumer electronics only

• High-risk projects

What type of projects is Toshiba likely to avoid in the future?

• Low-risk projects

• Elevator manufacturing projects

• High-risk projects

• Consumer electronics projects