Toshiba said yesterday it is selling its entire 65 percent stake in Toshiba Medical Finance Co to Canon, a Japanese camera maker, effective March 31. Tokyo-based Toshiba has been in talks with Canon since late last year on the sale.
Toshiba, in a hurry to raise cash before closing its books for the business year that ended in March, structured the sale of its medical equipment business to Canon in an unorthodox way so that it could book proceeds before the deal was approved by regulators.
Toshiba, which is selling the unit to help fund restructuring after a massive accounting scandal, said the deal would yield a profit of about 590 billion yen in the current fiscal year ending this month if it closes in time.
The Asian Business Sentiment Index, representing the six-month outlook at 79 firms, was 60 in the September quarter from 71 in June and 66 a year prior. A reading over 50 indicates a positive view.
The result comes as the world's biggest camera maker seeks growth opportunities, in part to offset a drop in demand for compacts as consumers increasingly rely on smartphone cameras
The Bank of Japan is set on Tuesday to unveil its most determined effort yet to beat years of economic stagnation, but the big challenge will be how to impress markets already pricing in a doubling of its inflation target and further asset buying.
Japan's Nikkei average broke a three-session losing run on Wednesday, as investors snapped up construction and real estate shares on expectations they will benefit from a surge in housing demand ahead of a sales tax increase in 2014.
Japan's Nikkei average firmed on Monday after eight straight weeks of declines, helped by gains from widely held Fast Retailing and Fanuc Corp which outweighed Renesas Electronics' sharp tumble.
Canon Inc. is moving toward fully automating digital camera production in an effort to cut costs a key change being played out across Japan, a world leader in robotics.
Nikon Corp will enter the market for lightweight, interchangeable-lens digital cameras and release its first product with a mirrorless design later this year, the Nikkei business daily reported.
The Nikkei stock average marked its lowest close since March 15 on Monday as worries about the US economy offset signs that the Japanese authorities stand ready to quell any further yen strength.
Canon Inc reported a 5% fall in quarterly operating profit and cut its annual outlook to below market expectations as it copes with the effects of Japan's earthquake, which has hit suppliers and hobbled production.
Ricoh India, a unit of Japan's Ricoh Co Ltd, is in talks to acquire an Indian IT services firm and hopes to close the deal by May this year, Managing Director N Maitra, said on Thursday.