Employees Succeed in Buyout of Hotel Chain Unizo

Economy

Tokyo, April 3 (Jiji Press)--Unizo Holdings Co. <3258> said Friday that a company jointly set up by its employees and U.S. investment firm Lone Star has succeeded in a tender offer for the Japanese hotel operator.

In the offer, which closed Thursday, the joint company secured 86.55 pct of Unizo's outstanding shares for 177.7 billion yen, or 6,000 yen apiece, exceeding its target of more than a two-thirds stake.

Unizo, currently listed on the first section of the Tokyo Stock Exchange, will be delisted after the joint company, Chitocea Investment Co., acquires all outstanding shares in the company.

The acquisition is believed to be the first successful employee buyout of a publicly traded company in Japan.

Following the transaction, all of Unizo's current executives will resign in late June.

[Copyright The Jiji Press, Ltd.]

Jiji Press