Update: KKR raises offer for Fuji Soft, outbidding Bain in $2bn takeover battle

Bain had recently raised its bid to JPY9,600 per share, but KKR’s latest move represents a more than 4% increase over its prior JPY9,451 per share offer.

KKR, which already holds a 33.97% stake in Fuji Soft after acquiring shares from activist investors 3D Investment Partners and Farallon Capital, has struggled to secure a majority position. The company has repeatedly extended its tender offer, with the latest deadline set for Friday. However, Fuji Soft’s shares were trading at JPY9,975 in early afternoon trading, above both bids, indicating investor expectations for further price increases.

Bain Capital, backed by Fuji Soft’s founding family, has yet to formally launch its offer. The firm has stated it will only proceed if KKR’s bid fails or is withdrawn.

The takeover battle began in August 2023 when KKR initially offered JPY8,800 per share for Fuji Soft. Bain quickly countered with a JPY9,450 bid, prompting KKR to raise its offer slightly to JPY9,451. Bain later increased its bid to JPY9,600, while KKR held firm until this latest escalation.

With both private equity firms locked in a fierce contest, investors are closely watching whether Bain will respond with another counteroffer or if KKR’s latest bid will secure control of the company.

Source: Reuters

Check out our previous article covering this deal here.

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