Daiwa House tenders for Sumitomo Densetsu, targets full ownership

Daiwa House Industry Co. announced a tender offer for all shares of Sumitomo Densetsu Co. at JPY 9,760 per share, aiming to make Sumitomo Densetsu a wholly-owned subsidiary. The offer price represents a premium of 28.08% over Sumitomo Densetsu's closing price of JPY 7,620 on October 29, 2025. The tender offer period will run from October 31, 2025, to December 15, 2025, with a minimum purchase of 3.88m shares, representing 11.03% ownership.

The total acquisition cost is estimated at JPY 169,459m. This acquisition is part of Daiwa House's strategy to strengthen its technical capabilities and expand its business portfolio, particularly in data centers and semiconductor factories. The acquisition includes a share consolidation and a share buyback for Sumitomo Electric Industries' shares at JPY 6,877 per share.

The acquisition is supported by Sumitomo Densetsu's board, which unanimously approved the offer, and Sumitomo Densetsu will continue to operate as an autonomous entity within the Daiwa House Group.