Toshiba Machine Targeted by Fund Linked to Activist Investor Murakami


Tokyo, Jan. 21 (Jiji Press)--A fund linked to Japanese activist investor Yoshiaki Murakami announced on Tuesday the launch of a tender offer for Toshiba Machine Co. <6104>.

In the tender offer through March 4, City Index Eleventh will buy Toshiba Machine shares for 3,456 yen apiece, aiming to secure a 43.82 pct stake in the company for up to 25.9 billion yen.

The fund said that the move is intended to boost Toshiba Machine's shareholder value and return on equity.

The tender offer is set to become hostile as Toshiba Machine, which is listed on the first section of the Tokyo Stock Exchange, is critical of the attempt.

City Index Eleventh and two other Murakami-linked funds currently hold a combined stake of over 12 pct in Toshiba Machine.

[Copyright The Jiji Press, Ltd.]

Jiji Press