Toshiba Agreed to Sell its TV Plant in Indonesia to China-based Skyworth
Tokyo, Japan, December 21, 2015 -- Toshiba Corporation ("Toshiba") today announced that it has reached agreement with China-based Skyworth on the sale of PT Toshiba Consumer Products Indonesia, Toshiba Group’s Indonesian manufacturing base for TVs and twin-tub washing machines. Going forward, the Company plans to settle the final sales price and complete the transfer by March 2016. The agreement will also give Skyworth a license to use the Toshiba brand name in Asia, excluding China.
Under this agreement, at the same time as the transfer of PT Toshiba Consumer Products Indonesia’s TV manufacturing plant, the Company will close down the washing machines manufacturing plant located on the same site, and sell the land and the production facilities.
Toshiba has ended in-house development and sales in its Visual Products business outside Japan and shifted to a brand-licensing model in the US and Europe. This agreement with Skyworth extends that model to Asia excluding China, and will allow Toshiba to concentrate its management resources on the Japanese market. The Company will continue in-house development and sales of products for Japan, minimizing the fixed expenses and bolstering profitability through personnel reductions and other measures. Toshiba will also end in-house production and sales of twin-tub washing machine worldwide, and will now focus on drum and top loading washing machines.
Toshiba aim to secure a business structure that can make profit within FY2016 by implementing structural reforms.
Company name: Shenzhen Chuangwei-RGB Electronics Co., Ltd. (Skyworth)
Head office address: Unit A13-16F, Skyworth Building, Goxian Ave. 1.
South, Nanshan District, Shenzhen, China
Representative: Yang, Dongwen
Capital: 7,000,000,000 Chinese Yuan (approximately 133.0 billion yen)
Employees: approximately 40,000
Main shareholders: Skyworth Group Co., Ltd
About PT. Toshiba Consumer Products Indonesia
Company name: PT. Toshiba Consumer Products Indonesia
Head office address: East Jakarta Industrial Park (EJIP), Plot 5G, Cikarang
Selatan, Bekasi 17550, Jawa Barat, Indonesia
Established: February 1996
Representative: Hideaki Yamasaki
Capital: 19.81 million US dollar (approximately 2.4 billion yen)
Net sales: 273.61 million US dollar (approximately 33.5 billion yen) (FY2014)
Employees: 1,197 (as of end of November 2015)
Main shareholders: Toshiba Singapore Pte, Ltd. 52.50%
Toshiba Lifestyle Products & Services Corporation 47.50%