On the Dash:
- Toyota raised its offer to 20,600 yen per share, a 26% premium to its initial bid, valuing the deal at about $30 billion.
- The tender requires 42.01% minority shareholder approval, excluding Toyota Motor’s 24.66% stake.
- Elliott agreed to tender shares after rejecting earlier offers, marking a key governance test in Japan.
Toyota Motor Corp.’s tender offer to take Toyota Industries private at 20,600 yen per share was set to close Monday, with results expected at or after 3:30 p.m. Tuesday (06:30 GMT).
The offer period was scheduled to expire at 3:30 p.m. Tokyo time on Monday. Earlier this month, Toyota raised its bid from 18,800 yen per share, valuing the deal at about $30 billion and ending a months-long standoff with activist investor Elliott Investment Management.
Toyota originally proposed 16,300 yen per share last year before increasing the offer twice. The final price of 20,600 yen represents a 26% premium to the initial proposal.
Elliott, which had previously rejected earlier bids as too low, agreed to tender its shares after the price increase, calling it an “improved outcome” for minority shareholders.
The transaction is being closely watched as a test of Japan’s corporate governance reforms and broader scrutiny of cross-shareholdings among major business groups.
For the deal to succeed, 42.01% of minority shareholders must accept the offer. This threshold excludes Toyota Motor’s existing 24.66% stake in Toyota Industries.
