Taiwan’s YAGEO Corp. cleared the minimum threshold for its contested acquisition of Japan’s Shibaura Electronics Co., securing 13.3 million shares as of October 3, representing 87% of the outstanding stock. The achievement caps an eight-month campaign that saw the bidder raise its offer by 66% to ¥7,130 ($48) per share, valuing the transaction at roughly $740 million.
The deal concludes a protracted contest closely watched as a test of Japan’s receptiveness to unsolicited foreign bids. YAGEO launched its initial ¥4,300-per-share proposal in February, which Shibaura’s management initially resisted. The target enlisted MinebeaMitsumi Inc. as a white knight, which offered ¥6,200 per share before withdrawing.
According to regulatory filings, the tender period has been extended to October 20, giving remaining shareholders an additional window to participate. The acquisition required a seven-month national security review under Japan’s Foreign Exchange and Foreign Trade Act due to Shibaura’s thermistor sensor business falling under the “core” national security category.
The company also secured a commitment from Nissei Electric Co. to tender its 341,000-share stake, representing 2.24% of outstanding shares. Shibaura reversed its opposition in September, backing YAGEO’s bid after months of negotiations. The final settlement is scheduled for October 27.
