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Toshiba Corp.’s preferred bidder won’t secure letters of commitment from banks by year-end, casting yet more uncertainty over a deal as disagreements over lending terms persist after months of negotiations.
A consortium led by Japan Industrial Partners Inc. is in talks over bank financing totaling about 1.4 trillion yen ($10.6 billion) to take Toshiba private, but negotiations have stalled over covenants and collateral, preventing banks from deciding how much funding each would provide, people familiar with the matter said. 

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