News Releases

 

IBJ Leasing Co., Ltd.
Toshiba Finance Corporation
Toshiba Corporation

TOKYO— IBJ Leasing Co., Ltd (TOKYO: 8425) (IBJ Leasing),Toshiba Finance Corporation (Toshiba Finance), an affiliate of Toshiba Corporation, and Toshiba Corporation (TOKYO: 6502) (Toshiba) today announced that they have signed a Memorandum of Understanding (MoU) on setting up a new company to be formed by spinning off the corporate financial services business of Toshiba Finance. IBJ Leasing will purchase 90% of the outstanding shares of the new company. The MoU also covers IBJ Leasing's purchase of 65% of the outstanding shares of Toshiba Medical Finance Co., Ltd. (Toshiba Medical Finance). The parties expect to sign definitive agreements on both transactions in November this year and to complete the share transfers in February 2012.

Under the terms of the MoU, IBJ Leasing and Toshiba will hold 90% and 10% of the new company's equity, respectively. IBJ Leasing will also take a 65% stake in Toshiba Medical Finance, with Toshiba Medical Systems Corporation retaining the remaining 35%.

The new company will seek to raise its corporate value by enhancing existing businesses, using current assets including customer base and expertise, and by making full use of the proposal-making capabilities of IBJ Leasing Group.

In welcoming the new company, IBJ Leasing will extend the scope of its sales and marketing by gaining access to the financing needs of Toshiba Group companies and their diverse range of businesses operating on a global scale. By utilizing Toshiba Group's extensive sales channels, IBJ Leasing will seek to expand its activities, including leasing.

Toshiba Group expects to receive high quality financial services from the new company in respect of product sales and facility investments. With this support, Toshiba Group will seek to enhance its sales activities and improve management efficiency.

IBJ Leasing and Toshiba also plan to sign a business partnership agreement concerning the new company's provision of financial services to Toshiba Group.

Overview of Toshiba Finance's corporate financial services business

Business:	Leasing,credit sales and loans
Total assets:	359.6 billion yen (as of March 31, 2011)
Employees:	Approximately 250

Overview of Toshiba Medical Finance Co., Ltd.

Location:	Hongo, Bunkyo-ku, Tokyo
Representative:	Takaaki Ito
Business:	Leasing and credit sales of medical equipment
Capital:	120 million yen
Established:	September 1970
Total assets:	55 billion yen (as of March 31, 2011)
Employees:	37