Japanese electronics giant Toshiba Corp. has finally reached an $18 billion deal to sell its semiconductor business to a consortium of businesses led by Bain Capital.

Toshiba has been working toward the deal since January, when the struggling company announced it would be looking for bidders to acquire its lucrative chip business in an effort to raise some much-needed capital. A number of major tech companies showed an interest in the deal, including Foxconn and Apple Inc., and Toshiba ultimately decided on a consortium of that included several businesses that use its chips in their products.

Once the deal goes through, Toshiba hopes to pull itself out of its negative shareholder equity as part of its effort to remain listed in March.

Although Toshiba is likely looking forward to finally completing its sale, there is one company still unhappy about the deal: hard drive maker Western Digital Corp. It has opposed the sale of Toshiba’s chip business from the very beginning, arguing that the business segment includes joint venture agreements that cannot be sold off without Western Digital’s approval. It also voiced concerns that some of its competitors might gain access to confidential information regarding its technology.

Western Digital has tried to block the sale in court, but so far the company has been unsuccessful in halting the sale completely. Toshiba even filed a $1 billion lawsuit against Western Digital in retaliation for its attempts to prevent the deal from going through without its approval.

“Our goal all along has been to reach a mutually beneficial outcome that addresses all issues for Toshiba and its stakeholders, and most importantly, ensures the longevity and continued success of the JVs,” Western Digital said in a statement. “Throughout our ongoing dialogue with Toshiba, we have remained flexible and have submitted numerous proposals that have specifically addressed all of Toshiba’s concerns. We are disappointed that Toshiba would take this action despite Western Digital’s tireless efforts to reach a resolution that is in the best interests of all stakeholders.”

As Toshiba nears the completion of its deal, Western Digital said it remains confident that the ICC International Court of Arbitration will rule in its favor in its case against Toshiba.

Photo: Toshiba