Maeda Construction Listed companies of TOB group confront each other on Maeda Road Jan. 20:40
Maeda Construction Industries, a major construction company, has announced that it plans to make a tender offer for shares in Maeda Road, a group company that handles road paving, and make it a subsidiary. Maeda Road is opposed to this and proposes to break down its capital relationship with Maeda Construction, an unusual situation in which listed companies in the same group are in conflict.
According to the announcement, Maeda Construction will make a TOB = tender offer on Maeda Road from May 21 to strengthen the group's infrastructure business, and will spend 86.1 billion yen to increase its shareholding ratio from just over 24% to 51% And aim to raise it.
Last month, Maeda Construction proposed to Maeda Road to increase its shareholding ratio and strengthen its capital ties, but there was a negative response that no effect was found.
However, Maeda Construction has said that it has decided to take the TOB this time, as rethinking the Group's structure is an urgent task.
Maeda Road, on the other hand, responded with a statement stating, "No synergy is expected, and the announcement of the tender offer was unilateral and sudden." Proposed to eliminate the capital relationship.
Maeda Construction and Maeda Road have been in business for more than 50 years since entering into a business alliance in 1964, but this is an unusual situation in which listed companies in the same group are in conflict.