Japan's Toshiba Corp said on Monday it would more than halve its capital base - a move that comes in the wake of a $1.3 billion accounting scandal last year.

It will cut its capital to 200 billion yen ($1.8 billion) from 439.9 billion yen, it said.

The capital reduction will be subject to shareholders' approval and would be effective from July 31, the embattled industrial conglomerate said in a statement.