Ferrotec to Acquire Japan Resistor Mfg. Co. for Approximately 2.3 Billion Yen
Ferrotec Holdings, a company involved in semiconductor manufacturing equipment parts and other products, has announced that it will make electronic component manufacturer Japan Resistor Mfg. Co. a subsidiary. The company plans to acquire all shares of Japan Resistor through a takeover bid (TOB).
The cost of this acquisition is expected to be approximately 2.3 billion yen. The purchase price has been set at 1,901 yen per share. This represents a premium of approximately 49% over Japan Resistor’s closing price of 1,275 yen on the 17th, the day before the announcement.
Ferrotec aims to enhance the group's technological capabilities and expand its business through this acquisition. The minimum number of shares to be purchased is set at 618,700, and if the procedures proceed smoothly, Japan Resistor will become a subsidiary of Ferrotec.
In the market, Japan Resistor's stock price is likely to react significantly, as the acquisition price has been set substantially higher than the current share price. Attention is now focused on the future management integration of the two companies and the impact on their business operations.