Godo Steel, Ltd. (TSE:5410) offered to acquire Asahi Industries Co., Ltd. (JASDAQ:5456) for ¥12.6 billion on August 6, 2018. Godo Steel offered ¥1800 per share for 7 million shares of Asahi Industries. At least 3.5 million shares are to be purchased as part of the deal. If the takeover bid is completed with Godo Steel, Ltd. acquiring 90% or above of the total voting rights of Asahi Industries Co., Ltd, Godo Steel, Ltd. will demand the sale of all remaining shares and if the takeover bid is completed with Godo Steel, Ltd. failing to acquire 90% or above and being equal to or more than the base number of voting rights of Asahi Industries Co., Ltd, Godo Steel, Ltd. will demand Asahi Industries Co., Ltd to put forth an agenda item regarding a reverse stock split with the ratio at which the number of shares held by the shareholders (excluding Godo Steel, Ltd.) of Asahi Industries Co., Ltd will be a fraction less than one share at a general shareholders meeting after the completion of the takeover bid. Board of Godo Steel resolved in favor of the deal. On January 18, 2019, the prerequisite for the implementation of the offer was satisfied.

On February 1, 2019, the Board of Directors of Asahi Industries Co., Ltd. unanimously recommended the shareholders to vote in favor of the transaction. As on February 28, 2019, the Board of Asagami Corporation (TSE:9311), resolved at the meeting of Board of Directors to comply with the tender offer implemented by Godo Steel, Ltd. and tender 0.52 million shares. The tender offer commenced on February 4, 2019 and the tender offer period ends on March 18, 2019 and the start date of settlement is March 25, 2019. Mizuho Securities Co., Ltd acted as third party appraiser and TMI Associates acted as legal advisor for Asahi Industries Co., Ltd. SMBC Nikko Securities, Inc acted as third party appraiser and tender offer agent to Godo Steel.