Toshiba has decided not to sell a stake in its chip business before the current fiscal year ends, a source close to the matter said Wednesday, in a move that makes certain the company will have a negative net worth at the end of the year.
Toshiba, which was listed on the first section of the Tokyo Stock Exchange in 1949, will be downgraded to the second section if it fails to avoid negative net worth by the end of the fiscal year on March 31.
Toshiba's decision comes a day after the company estimated a loss of ¥712.5 billion ($6.23 billion) from its U.S. nuclear business in the April-December period and fell into negative net worth of ¥191.2 billion at the end of December.