KKR secured a 33.86% stake in Japanese software developer Fuji Soft, positioning itself ahead of rival Bain Capital in a contest to take the company private.
The US investment firm completed the first phase of its tender offer at 8,800 yen ($57) per share, with plans to launch a second round in mid-November targeting at least 53.22% ownership. KKR reportedly acquired shares from Singapore-based 3D Investment Partners and retail investors.
The battle intensified as Bain Capital proposed a higher bid of 9,450 yen per share, offering a 7% premium to KKR’s price. Bain’s offer remains conditional on board approval and suggests potential collaboration with KKR to enhance Fuji Soft’s value.
A special committee of Fuji Soft’s outside directors is expected to question KKR about potential price adjustments for the second tender round. However, KKR executives ruled out joint investments with competing funds.
Both firms aim to implement a squeeze-out strategy, requiring approval from two-thirds of shareholders at an extraordinary meeting. While KKR holds enough shares to potentially complete the privatization independently, its lower offer price poses a challenge to winning broader shareholder support.
