Tokyo Kikai seeks panel opinion on halt to takeover defense

Jiji Press

November 25, 2021

TOKYO (Jiji Press) — Japanese newspaper printing press maker Tokyo Kikai Seisakusho Ltd. said Thursday it has asked an independent panel for opinion about canceling its plan to invoke a defense measure against a takeover bid by Asia Development Capital Co. .

The announcement came after Tokyo Kikai received on Wednesday a written reply from Asia Development Capital, a Tokyo-based investment company, showing its intention to fully call off its takeover bid.

Tokyo Kikai said its board of directors will hold discussions and make a final decision after a recommendation from the panel.

On Nov. 18, Japan’s Supreme Court rejected a request by Asia Development Capital for an injunction against Tokyo Kikai’s takeover defense measure.

The investment company subsequently expressed its intention to lower its stake in Tokyo Kikai from around 40% to 32.72%.

Noting that it was still doubtful whether Asia Development Capital would withdraw its plan to buy massive amounts of Tokyo Kikai shares, the major newspaper printing press maker had sent a letter to the investment company to confirm its intention.