Shibaura Electronics recommends YAGEO tender offer after price hike

Shibaura Electronics announced its unanimous decision to recommend that shareholders tender their shares in the tender offer by YAGEO Electronics Japan. This change follows an initial "reserved" opinion issued on May 21, 2025. The revised tender offer price is JPY 7,130 per share, an increase from the previously announced JPY 6,200. This represents a 127.43% premium over the closing price on February 5, 2025, and significantly exceeds the median premium of 59 comparable domestic non-public tender offers since June 28, 2019.

The company's decision stems from deeper business understanding achieved through discussions and factory visits with YAGEO. Shibaura Electronics now foresees significant synergies, particularly in strengthening marketing in Europe, the US, and China, expanding its product portfolio through YAGEO's miniaturization and mass production technologies, and leveraging YAGEO's investment support for enhanced product manufacturing. A "YAGEO Agreement" has also been signed, ensuring the continued respect for Shibaura Electronics' management autonomy, employee employment, and existing business relationships.

The tender offer period will provide ample time for shareholders to consider the offer, with the acquisition becoming possible from September 3, 2025, following the acceptance of the third notification under the Foreign Exchange and Foreign Trade Act.