A takeover battle over the delisting of Kadoya Sesame Mills is taking shape. Integral's TOB has begun, stable shareholders are broadening the pool of potential buyers, and Kikkoman is considering a competing proposal. Movements in the shareholder structure are likely to be a focus over the medium term.
Developments toward taking Kadoya Sesame Mills private are advancing, and a tender offer for its shares by Integral has begun. The TOB price is ¥2,514 per share, for a total of approximately ¥58 billion, and the subscription deadline is 30 October, although a better competing proposal will reportedly be considered.
The tender offer began with an approach made last year, and a shareholder from the founding family and Integral are jointly considering a competing proposal. The share price is also more than 10% above the TOB price, indicating strong market interest in a competing proposal.
Mitsubishi Corporation and Mitsui & Co., which had been regarded as stable shareholders, called for a broader range of proposals and encouraged the expansion of potential buyers. Mitsui & Co. requested that J-OIL MILLS be considered, while Mitsubishi Corporation sought to add Advantage Partners to the candidates through approaches to 7 companies.
Experts have pointed out that active intervention by major shareholders could alter capital relationships in the market, saying that the situation raises questions about corporate governance and the nature of relationships with shareholders. Depending on future developments, consideration of a delisting could accelerate.