Toshiba, Western Digital make peace on sale of chip unit

TOKYO (AP) — Toshiba Corp. and its joint venture partner Western Digital have made peace over the embattled Japanese electronics giant's plan to sell its flash memory unit to raise cash to stay afloat.

The agreement allows Western Digital to participate in future investments in their joint venture, clearing the way for a consortium led by Bain Capital to buy Toshiba Memory Corp., the companies said Wednesday.

The deal also addresses concerns over protection of valuable patents and other intellectual property in the highly competitive field of flash memory products used in many high-tech products.