red flags
The Bain of Japanese Nationalism
Is a private-equity firm the right owner for a capital-intensive business like chipmaking?
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Now that Toshiba Corp. has chosen the preferred buyer for its chip unit, Japan Inc. needs to watch exactly what the new owner will do with the business.
No doubt partnering with influential local names strengthened the hand of Bain Capital Private Equity LP in beating out rivals such as Western Digital Corp., Broadcom Corp. and Foxconn Technology Group. Any of those competing consortia would have been logical choices, offering solid strategic synergies.