Business News
  • share with weibo

Japan|Itochu is About to Acquire Desanto

Feb 1, 2019.Ichiro KumegawaTokyo, JP
  • share with weibo

On January 31, ITOCHU Corporation announced an acquisition offer to Desanto (TOB) which will continue until March 14. At present, Itochu is the company's largest shareholder (holding 30.4%). The purchase price per share was 2,800 yen, which was 929 yen (50%) higher than the closing price on January 30. That morning, Desanto's stock has been in the red. The veto of the company's matters must have more than one-third of the equity, but is expected that the acquisition will not exceed 40%. The total acquisition of ITOCHU is expected to reach 20 billion yen. However, the two companies are opposed to the business policy of Dessanto. Masatoshi Ishimoto became the president of Desanto in 2013, and the company revised the profit target of the current period, the policy of overseas development, and Wacoal Holding Co. Business strategies were not notify by ITOCHU in advance which cause great dissatisfaction as they are the largest shareholder. After the end of the TOB, ITOCHU will propose an innovative business strategy.