Toshiba Corp CEO Nobuaki Kurumatani Steps Down

Toshiba Corp. said Wednesday that Chief Executive Nobuaki Kurumatani had stepped down and Satoshi Tsunakawa, its former chief operating officer, was its new chief executive.
The change in leadership came as several shareholders publicly questioned Toshiba’s capital allocation and corporate governance in recent months. At a special meeting in March, shareholders approved a proposal by Effissimo Capital Management Pte. to appoint investigators to look into whether voting at a shareholders’ meeting last year had been conducted fairly.
Mr. Kurumatani’s approval rating fell to 57% at the shareholders’ meeting in July 2020, from 99% a year earlier.
Mr. Kurumatani joined Toshiba as chief executive in April 2018 to rebuild the company, which was in turmoil following the bankruptcy of its U.S. nuclear subsidiary, Westinghouse Electric Co., in March 2017.
Under his leadership, Toshiba had cut costs, reduced the number of its subsidiaries, opted out of low-margin projects to boost returns and focussed on industrial areas such as energy and infrastructure.
Toshiba returned to the first tier of the Tokyo Stock Exchange in January after having been downgraded due to a capital deficit following the Westinghouse bankruptcy.
Toshiba said earlier this month that it received a proposal for acquisition from private-equity firm CVC Capital Partners, in a deal that could be valued at more than $20 billion if completed.
Mr. Kurumatani served as deputy president of Sumitomo Mitsui Financial Group Inc. and chairman of CVC’s Japan unit before joining Toshiba.