On September 27, Reuters reported that Western Digital Corp. has filed a legal request to block Toshiba from selling its valuable semiconductor business to a competing consortium. The move comes as Toshiba is in the process of finalizing a deal with a group led by Bain Capital and South Korean chipmaker SK Hynix. This isn’t the first time Western Digital has taken legal action against Toshiba’s decision to sell its chip division. Several years ago, the company had invested in key Toshiba chip manufacturing facilities alongside other investors. Now, it claims that any transaction involving Toshiba’s semiconductor unit must be approved by them. Although a $18 billion agreement was reached between Toshiba and the consortium, it hasn't been officially signed yet. According to sources, Toshiba recently informed its major lenders that Apple—a member of the consortium—has not yet agreed on the key terms of the deal. This delay could complicate the entire transaction. Western Digital is now seeking an injunction from the International Chamber of Commerce's Court of Arbitration (ICC). Earlier this year, the company sued Toshiba over the matter, arguing that any sale of the chip business without their approval would violate existing agreements. The ICC is expected to form an arbitration panel within the week, with a decision on the ban anticipated later this year. A final ruling on the broader dispute is likely to come before 2019. Toshiba is under pressure to finalize the deal quickly. The company is struggling with massive debt from its bankrupt U.S. nuclear subsidiary, Westinghouse, and faces the risk of being delisted from the Tokyo Stock Exchange. Raising billions of dollars through the sale of its chip business is crucial for its survival. Even if an emergency agreement is reached with the Bain-led consortium, Toshiba still needs to navigate regulatory approvals, which typically take at least six months. Time is running out for the Japanese conglomerate as it tries to stabilize its financial situation and avoid further setbacks. Zgar International (M) SDN BHD , https://www.zgarvape.com