Toshiba shareholders vote down spin-off plan & call to seek buyout offers

Toshiba shareholders voted against its plan to spin off the devices unit, but a separate motion backed by activist shareholders that called for the conglomerate to solicit buyout offers also failed

Toshiba Corp shareholders on Thursday voted against its plan to spin off the devices unit, but a separate motion backed by activist shareholders that called for the conglomerate to solicit buyout offers also failed to gain sufficient support.

The result of the extraordinary general meeting appears to leave Toshiba with no immediate clear direction, still mired in a four-year scandal-filled battle between management and foreign activist hedge funds.

The proposal to seek private equity buyout offers or a minority investment was made by Singapore-based 3D Investment Partners, Toshiba's No.2 shareholder and was also supported by top shareholder Effissimo Capital Management