Kazatomprom sells its stake in Westinghouse Electric Company
ASTANA. KAZINFORM - Toshiba Corporation ("Toshiba") bought back from "NAC "Kazatomprom" JSC ("Kazatomprom") 10% stake in Westinghouse Electric Company ("Westinghouse"), in accordance with the terms of the "Put Option Agreement" between the two companies, Kazinform has learnt from the company's press service.
Earlier this year, Kazatomprom exercised its rights under the put option, and today received a payment of US$ 522 million for its shares in Westinghouse.
Combined with dividends received during its ownership of Westinghouse shares of US$ 103 million, the total return on Kazatomprom's invested funds amounts to US$ 625 million, which exceeded the initial investments in Westinghouse Electric Company's shares by US$ 85 million.
To recall, Kazatomprom acquired shares of Westinghouse in 2007 from Toshiba for US$ 540 million. According to the terms of that deal, Kazatomprom had the right to sell its shares back to Toshiba at a fixed price of US$ 522 million under the Put Option Agreement.
In March 2017, American company Westinghouse (subsidiary of the Japanese corporation Toshiba) filed a petition for bankruptcy proceeding in accordance with Article 11 of the US Bankruptcy Code.