Nippon Steel Corporation (TSE:5401) made a bid to acquire an additional 10% stake in Tokyo Rope Mfg. Co., Ltd. (TSE:5981) for ¥2.4 billion on January 21, 2021. Under the terms, Nippon Steel Corporation will acquire a maximum of 1.6 million shares at ¥1,500 per share. Nippon Steel will not acquire any additional shares above the set maximum limit. As a result, Nippon Steel will increase its stake to 19.91%. Nippon Steel intends to restructure management of Tokyo Rope to increase corporate value of Tokyo Rope. The tender offer period will run from January 22, 2021 to March 8, 2021. Daiwa Securities Co., Ltd. acted as financial advisor, fairness opinion provider and Tender Offer Agent for Nippon Steel. As on January 21, 2021, the board of Tokyo Rope Mfg unanimously resolved to approve the offer. As of February 4, 2021, Tokyo Rope Mfg. Co., Ltd. asked the shareholders not to apply for tender offer and who have already applied for the same will promptly cancel the contract for the tender offer. Ultimately, Board of Directors and independent officers oppose the transaction.

Nippon Steel Corporation (TSE:5401) completed the acquisition of additional 10% stake in Tokyo Rope Mfg. Co., Ltd. (TSE:5981) on March 8, 2021. 2,142,516 shares were tendered and as per the maximum tender condition the excess will not be purchased in whole or in part, and the shares will be delivered and other settlement procedures for their purchase will be implemented using the pro rata method.